Start-Up May Aid Telecoms’ Reach

Tuesday, July 22nd, 2008

A new start-up may aid telecoms' reach into developing nations with its low-energy base stations:

Some two billion new subscribers are projected to start using mobile phones in the next five years, and 80% of them live in developing-world markets, according to analyst estimates. Yet wiring villages without reliable electricity, and where residents have little money to spend, requires a technological rethink.

To power mobile networks in remote areas today, telecommunications operators pair base stations — the tower-top radio transmitters that form the backbone of mobile networks — with diesel-powered generators and batteries. These are impractical and expensive: Fuel accounts for 65% of the cost of operating a typical base station.

VNL, which has headquarters in New Delhi and Stockholm, has spent the past four years developing a simplified base station that is powered by solar panels and requires just a fraction of the electricity of typical base stations.
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VNL’s base station will cost $3,500 and require 100 watts to run, about the same as a light bulb. By contrast, the GSM stations most widely used today can cost anywhere from $40,000 to $100,000. The most energy-efficient models require around 600 watts; others may need several thousand watts.

“We started with a clean sheet of paper, and told ourselves that we needed to design technology perfectly suited for the rural environment,” says VNL Chief Executive Anil Raj, a former executive at Ericsson.

The tower is designed to make it easy for people with little professional training to install. The equipment comes with a pictorial instruction manual similar to those for Ikea’s do-it-yourself furniture. It has just one button, used to turn it on. Once the pole is erected, the base station beeps intermittently until the radio antenna is rotated manually to face the direction of the mobile network. When the antenna is perfectly aligned, the sound steadies.

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