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http://www.themarker.com/eng/article.jhtml?ElementId=%2Fibo%…



Wireless access to Internet is a booming business in Latin America, but not for Alvarion (Nasdaq:ALVR). At least not this week: the company lost a Brazilian contract to rival Airspan Networks (Nasdaq:AIRN).

Airspan announced winning the first of four tenders in Brazil, involving linkage of remote areas to a fixed wireless network. TheMarker has learned that Alvarion competed directly against the American company. It had reached the final stage together with Airspan and a third company, but ultimately lost. The contract is estimated to be worth a few million dollars.

The contract Airspan won, from Grupo Sinos, is for a two-year term. It covers hooking up eight cities in the Rio Grande do Sul, in southern Brazil, to a network providing always-on, high-speed Internet access and voice over IP services.

Grupo Sinos is a private media and communications company with diversified operations such as daily newspapers, trade magazines, radio stations and Internet services, Airspan noted. Grupo Sinos was recently awarded one of Brazil`s first 3.5GHz licenses to deploy a fixed wireless network in the state of Rio Grande do Sul, the company added.

Nine companies had competed for the Brazilian contract, with the two big players being Alvarion and Airspan. Another was SR Telecom of Canada, which recently acquired Netro, a company managed by Israeli businessman Gideon Ben Ephraim.

Alvarion is still contending with Airspan over the other three Brazilian contracts. One is from the veteran Brazilian telecoms company Embratel, which won licenses for frequencies over a vast area, including Brazilia and Sao Paolo. The Embratel contract is the biggest and is next in line to be wrapped up. A decision is expected in three months. Alvarion`s chances are not considered good, after losing the first contract to Airspan.

The other two deals are expected to close in 18 months at most.
 
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Autor (Datum des Eintrages): Mike199  (23.09.03 15:43:00)
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