Death of Conventional American Cell Phone System

Over the next few years, several businesses are planning start selling dual-mode cellular/Wi-Fi phones, which will can make calls using either a cellular network or a wireless Internet connection.

These phones are likely to alter the telecommunications industry and change the way consumers use phone service. They may spell the end of conventional wired telephone services.

As much as 30% of cell phone calls are now made inside homes. If those calls could be made more cheaply by means of the internet, wireless companies could free up capacity, and both businesses and consumers could save money.

The technology is still in an experimental stage, but some companies have already begun to offer cell-Fi phones on a limited basis.
USA Today August 24, 2005

Dr. Mercola’s Comment:
Earlier this week New Scientist reported that 4G cell phones(not land lines)in Japanusing this technologycould receive data at 100 megabits per second on the move and at up toone gigabit per second while stationary. To give you an idea of that bandwidth power, you could look at 32 high definition (not regular TV) video streams at once while you were travelling in your car.

The US is making some limited progress in 3G phone networks.

Verizon has already rolled out its 3G networks in 14 US citiesand you can connect unlimited wirelessly to the Internet for $60 a month in these cities. Unfortunately Chicago is not one of the cities, but within a year they should have most of

the US covered.

The Sprint Nextell mergeris rapidly following with their 3G EVDO systems. However, it is my belief that you and I will not have to wait ten years for 4G phones or expensive 3-G wireless as Wi-Max is on the way and will be here in 1-2 years.

Wi-Maxis already being tested in remoate areas of Argentinafor widespread access to the Internet.

WiMax isshort for Worldwide Interoperability for Microwave Accessandcomes in two flavors. The first, known as fixed wireless, is similar toWi-Fi, but on a much larger scale and at faster speeds.

Unlike Wi-Fi, Wi-Max can transmit up to 30 miles. Yes, you read it right, 30 miles. It doesn’t take many Wi-Max towers to cover most cities. Most

communites will only require a handful of Wi-Fi transmitters to provide coverage to their residents.

Thereally exciting developement though is nomadic Wi-Max whichwould keep WiMax-enabled devices (like your “cell” phone)connected over large areas. Intel is projecting that they will have this deployed in their notebooks in late 2006 or early 2007.

I have had conventional VoIP (voice over internet protocol) phone service for nearly three years and over 2. 5 million Americans have now made a similar choice. Next year, WiMax will be widespread.

What is the Exciting News for You?

In the next few years it is clear to me thatyou will have the ability to connect wirelessly to the Internet nearly everywhere in the country.

If you have a VoIP wireless phone

that connects automatically to the Internet you can make a call on the Internet. Just like current systems like Vonage, there is a fixed monthly fee and you can make as many calls as you want for a fixed amount. This includesmany countries like Canada and Mexico.

Other plans allow you to add up to 35 countries to the list.

The major innovation here is that you will do this wirelessly and not be fixed to the few hundred feet you can walk in your home on your portable phone.

So rather than use your cell phone, you will connect to the Internet wirelessly and use VoIP as an alternative to your cell phone carrier. These new VoIP wireless phones are

essentially alternatives to your cell phone.

Just as many people dropped their land lines nearly everyone will be dropping their cell phone carriers. The reason? Rock bottom prices. No longer will you pay over $100 a month for your cell phone. You will pay $25 for your home AND cell phone for UNLIMITED use. Also remember that you avoid paying taxes or hidden fees. Just $25 a month.

So you can call anywhere in the United States and Canada for one low monthly fee. If you have to call internationally the rates are typically 3 cents a minute. Compare that to the nearly universal $1 per minute or more for most international cell phone calls.

Very exciting and one of the major fruits

of Moore’s Law.

In one month my technical staff is deploying an open source VoIP system in our office called Asterisk that is equally amazing. I need to make a one time purchase of about $10,000 inhardware and rent a voice T1 line for about $500 a month, but after doing that I will be able to have nearly 200 phone lines that I can have unlimited calls on.

Absolutely amazing considering that this would costs hundreds of thousands of dollars in conventional PBX systems and tens thousands of dollars in monthly phone fees.

It could not be clearer that the death bell is tolling for the conventionalAmerican phone system.

One thing you can count on in this life is change.

Who would

have thought thatAT&T would have ever collapsed as in its hey day it was one of the largest and most powerful corporations on earth.

Well technology can do that.

That is why I am equally convinced that even though the top ten drug companies have more wealth than the rest of the Fortune 500 companies combined, it is clear that they, like the phone companies, will fall.

You and I will catalyze that process. Mark my words. This is happening as you read this page.

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Dr. Mercola is the founder of Mercola.com , one of the world’s most visited and trusted health websites, and publisher of the free Mercola.com e-newsletter — the #1

dietary health and wellness newsletter on the Web with over 500,000 subscribers. Dr. Mercola, a physician for over two decades, is also a New York Times bestselling author whose latest book, “Dr. Mercola’s Total Health Program,” presents his entire renowned dietary health program and has sold over 150,000 copies. He is routinely interviewed by the media for his expert insights, including CNN and ABC World News Tonight. His passion is to change the fatally flawed conventional medical system to one focused on real prevention and cure.