The relentless development of WiMAX products worldwide seems to have cooled down recently due to confirmed or rumored retrenchments of WiMAX projects by some leading players, according to market sources. Uncertainty over the prospect of the industry arose recently when Ericsson announced that it would suspend its development of related WiMAX technologies and products and stated that it can continue to offer broadband access services to enterprises and homes through 3G networks without using WiMAX.
Market rumors also stated that US-based Sprint Nextel has become more conservative about WiMAX and could slow down its deployment of WiMAX networks. In addition, the declining stock price of Clearwire, a WiMAX service provider in the US, to around US$20 recently from the US$27.95 at its debut in early March, has also cast a pall on WiMAX development, the sources indicated. In Taiwan, Mitac Technology Corporation (MTC), a notebook subsidiary of Mitac International, recently closed its WiMAX business unit, which was named as a possible parter with Nortel, according to the sources.