Market impact of software radio : benefits and barriers

Abstract

Software radio (SR) is a new technology where signal-processing software running over general-purpose hardware platforms performs the radio functions. This approach promises to solve the issues that traditional radios face today, enhance competitiveness and accelerate the development of wireless communications. Lots of expectations have been put on SR. Nevertheless, SR is a still developing technology whose capabilities and implications have not been deeply studied. This thesis puts some clarity on the impact of SR through four steps: first, considering the technical constraints of SR and how they may affect its evolution; second, evaluating the SR benefits assuming that there are neither regulatory nor economic hurdles; third, analyzing the impact of SR on the stakeholders; and fourth, discussing the current regulatory framework and proposing changes to reduce barriers to SR development. This thesis finds that SR capabilities may be applied to multiple commercial sectors. A/D converters and semiconductors capacity limit the full implementation of these scenarios. Battery life is a further problem for SR devices. SR disrupts the traditional wireless value chain: general-purpose processors will capture market share from dedicated semiconductors; traditional radio manufacturers will compete against general-purpose platforms vendors, operating system designers and software programmers. Such changes modify the upper layers. In the cellular industry, SR reduces deployment costs in at least 33% per standard and operation costs in at least 47% per standard, promotes VMNOs, modifies the business model of players like site owners and improves roaming. In the short-term, FCC certification rules may damage SR development and adoption. In the long-term, software radio might provide the means to relax the need for standardization and improve spectrum management policies.