XG investor to be first customer for WiMAX rival

US startup XG Technology revealed this week that it has scored an infrastructure contract to deploy its obscure wireless broadband technology.

XG has been flitting in and out of the news for the past couple of years and the industry seems divided over the potential of the secretive firm’s technology, which is pitched as a rival to both WiMAX and 3G/LTE.

Created by ham radio enthusiast Joe Bobier, the technology, dubbed xMax, uses a technique known as single cycle modulation to provide a 40Mbps link over a 15-20 mile radius using less than 1 watt of power. And it claims to be able to do this in unlicensed spectrum.

But with little else known about xMax, the experts are reluctant to admit whether the technology even complies with the laws of physics, never mind whether it’s commercially viable.

Nevertheless, the company does have its backers. And one of them, Treco Group, a private conglomerate with major holdings in real estate, finance and telecommunications, which recently bought up 4.4 per cent of XG, will also be one of the firm’s first customers.

Subsidiary Treco International has signed an agreement to act as XG’s exclusive infrastructure partner in the roll out of the base stations across the US.

Under the agreement, Treco, which recently placed an order for 1,000 base stations and an option for a further 4,000, would rent the equipment to XG’s territory partners, such as regional internet service providers and local telecoms carriers.

XG expects that its xMax system will begin deployment next month in the southern Florida market, with other US territories following quickly on and will initially offer VoIP services. Data and modem services will be added on early in 2009.