AT&T to Test Wi-Max Wireless Network

Telecom giant AT&T thinks that the much-hyped Wi-Max technology may hold the key to a cheaper way of providing data lines for its business customers. The company plans to hold tests of the high-speed wireless technology in New Jersey beginning in May, and plans larger-scale commercial tests later this year.

If the tests prove successful, Wi-Max could begin to be phased in starting sometime next year. The move would save AT&T money, as it would make the data lines the company is leasing from local telephone companies unnecessary.

The trial will test both flavors of Wi-Max that are currently available: one which requires an antenna to be within the line-of-sight of a receiver, and one which does not.

AT&T is hoping to achieve a 6-megabit-per-second data rate, which is slightly faster than most of today's cable modem services, out to about five miles from the transmitter.

Verizon and Qwest have experimented with Wi-Max as well, but neither company plans to rollout any services based on the technology.

AT&T, meanwhile, recently agreed to a $16 million buyout by rival SBC Communications last year, and has about 7,000 business customers that could utilize Wi-Max services to replace their wired lines.