Trucking Technology Report - Nov. 9
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Both the online report and e-mail are sponsored by @Track Communications, a supplier of wireless communications and dispatch services.
Editor's Note: In observance of the Veteran's Day holiday, there will be no Trucking Technology Report on Friday. The postings will resume on Monday.
Today's Technology Headlines:
Information Is an Oasis for Viking Freight
Viking Freight delivers its packages, about 13,000 shipments per day, on time 99% of the time, but is striving to provide information to customers about delays. Through bar code and wireless transmissions, Viking Freight has the ability to email the whereabouts of a package to the customer. The technology the company utilizes is always approved by a steering committee to determine the benefits and pitfalls of the new technology. Once the technology has been chosen and implemented, the company has to determine what information its customers want and need.
However, despite the accuracy of new technology, such as hand held bar code scanners and cell phones, and decreases in systems'prices, coverage interruption and having to obtain wireless services from many different vendors can interrupt the flow of information. Frontline Solutions (11/00) Vol. 1, No. 12, P. 9; Krizner, Ken
Low Demand for Mobile Phone Link to Internet
The millions of pounds invested by telecom companies into the United Kingdom's mobile phone market has resulted in only one in 50 adults residents using wireless Web services, according to a study conducted by market research firm BMRB International. The study finds that only 5% of Internet users have purchased wireless Web devices and services.The news follows telecom companies' spending of 22.5 billion British pounds sterling ($32.2 billion) in UMTS auctions. Steve Ives, CEO of 3G Labs, says part of the unenthusiastic consumer response to WAP is a result of wireless networks not being able to deliver the quality of services consumers want. And EMC (EMC), another research firm, points out that high consumer demand for wireless data may not exist.
Currently, between 4% and 6% of cell phones worldwide are used for data. Financial Times (11/09/00) P. 14; Grande, Carlos
JDS Sees No Slowdown in Optical Network Spending
Despite worries about demand that have led to a wide sell-off of fiber-optics stocks, several companies in the industry do not believe spending will be curbed. JDS Uniphase (JDSU) doubts its customers will cut their spending on fiber-optic equipment. All of Finisar's customers, such as 3Com (COMS), Alcatel (ALA), and IBM (IBM), are increasing spending. Bookham Technology, an optical chipmaker, also says a reduction in spending is unlikely although one of its top customer's, Nortel, believes otherwise. Investor's Business Daily (11/09/00) P. A2FCC May Allow Spectrum Trade
The FCC expects to officially propose guidelines today that would permit mobile phone companies to exchange their spectrum rights, say sources close to the situation. This is the latest move by the agency to combat a spectrum shortage for future wireless services.William E. Kennard, chairman of the FCC, says additional spectrum is needed throughout the country and that the agency should evaluate its current spectrum policies to ensure they are not a hindrance to spectrum exchanges.
The wireless industry is expected to embrace the new proposal, which will enable telecom companies to sell and buy unused spectrum. But some industry officials also want the agency to institute new rules limiting the amount of spectrum a large telecom company can own in a single market. The current spectrum shortage for wireless operators has led to service problems, such as dropped calls and busy signals. Washington Post (11/09/00) P. E9; Goodman, Peter S.
Corporate Telecom Carrier Winstar Raises $1B for Expansion
New York-based telecom carrier Winstar Communications (WCII) generated over $1 billion yesterday to support its plans to expand across the country. The company said existing investors, such as Microsoft (MSFT), had agreed to dedicate an additional $270 million of equity, as banks and equipment vendors decided to provide another $750 million in credit.Winstar, which employs wireless connections to offer local high-speed services to corporate customers, was created to compete against the regional Bells after deregulation hit the local market. The most recent investment indicates confidence on the part of Microsoft and the other backers that made a $900 million investment in the company last year. Financial Times (11/09/00) P. 23; Waters, Richard
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