Google's Project Loon no cure for the common Internet not spot

Google's experimental Project Loon unveiled this week that envisions a fleet of high altitude balloons providing Internet connectivity is likely to benefit only the most remote and undeveloped areas of the globe.  Fittingly, remote New Zealand was the site of the first experimental deployment of these 'loons, mate.

The technology won't be a panacea for more populated parts of the globe in developed nations plagued by incomplete wireline Internet infrastructure that serves only some residences and businesses while others adjacent are left off the Internet grid.

Nor can it provide sufficient throughput to support the rapid growth in bandwidth demand driven by video and the use of multiple devices common nowadays in many households.  According to Google, the high altitude digital dirigibles will provide connectivity at speeds comparable to 3G, the legacy mobile wireless service now being superseded by higher bandwidth 4G mobile wireless.

The Economist: Why LTE can't substitute for fiber

Some believe the Internet will become untethered over the last mile and point to cutting edge wireless transmission technology known as LTE or 4G. The two biggest telcos in the U.S., Verizon and AT&T, are rolling it out (or are about to in the case of AT&T.)

But it won't be able to replace the nation's aging copper cable infrastructure that has grown increasingly difficult and costly to operate reliably. Nor is it likely to provide sufficient capacity for future growth in bandwidth demand -- something that Verizon and AT&T are acutely aware having faced growth pains and capacity constraints with their current generation of 3G wireless.

The Economist explains why:

Already LTE has shown itself good for at least 5Mbps—impressive for a mobile technology still in its infancy (see “Generational change”, December 3rd, 2010). But with peak speeds of 1Gbps theoretically possible, LTE’s next iteration should make downloads of 100Mbps over the airwaves a matter of routine. Developments beyond that could lead to near-gigabit speeds.

Of the two, though, a fixed link like fibre remains the better bet. Sooner or later, even a 4G wireless protocol such as LTE or its country-cousin WiMAX will become overwhelmed by the exponential growth of mobile traffic. By contrast, an optical link to the home could use a multitude of different wavelengths to boost throughput almost indefinitely.

Network World also weighs in:

So the next question about wireless broadband as a substitute. Recall that according to the U.S. Government Centers for Disease Control and Prevention (CDC), 1 in 4 homes has cut the legacy wireline phone cord in favor of wireless-only voice. Could we see wireless substitution rates that high for broadband access? We think not because radio spectrum is a limited resource, and unlike wireless voice networks that have plenty of spectrum to manage voice calls, if 25% of broadband users shifted from wireline access, the demand for wireless broadband would likely exceed available spectrum given today's technology.

Telco plans LTE for fixed premises broadband

FierceBroadbandWireless reports CenturyTel CEO Glen Post told the publicly traded telcos's quarterly conference call that it will deploy Long Term Evolution (LTE) aka 4G cellular broadband in 2010 as a platform to serve fixed premises customers in rural areas. CenturyTel serves small and mid-sized markets in 25 states, according to its Web site.

If this really occurs and isn't yet another of the vaporware technology claims common in the wireless broadband world, it could provide a superior interim fixed premises broadband pipe in broadband black holes until these areas can be wired for fiber optic cable plant.

Currently 3G cellular broadband plays that role in some areas lacking wireline delivered broadband. But it's more appropriate for mobile broadband than for fixed premises users given the tradeoffs of relatively slow throughput speeds, high latency and low bandwidth caps. Locally owned and operated fixed terrestial Wireless Internet Service Providers (WISPs), which also presently play a major role in bridging the broadband gap created by the limited technological reach of DSL and the limited service area footprints of cable companies, aren't likely to be competitive with 4G where it's deployed.

If it can deliver with good latency numbers, LTE could also offer better coverage than 3G since it will utilize 700 MHz radio spectrum that was purchased by CenturyTel Broadband Wireless and other telcos such as AT&T and Verizon in federal auctions conducted last year. The spectrum was formerly used for television signals and is noted for its robust ability to carry through rolling terrian and trees and buildings.

LTE will also potentially offer far higher thoughput -- in the range of 10-15 Mbps, according to Sidecut Reports. That's at least five times faster than what's currently available from 3G and WISPs.