On Day 0 of the IDF conference, a special day for PR and analysts getting a pre-briefing on what Intel would show the developer conference attendees over the following two days, one session was put on by Mooly Eden, Intel’s mobility chief.

Here he explained that WiMAX networks were designed to deliver much faster wireless broadband than current 3G and 3.5G networks could deliver, and at much lower monthly costs to boot. How true that ends up being we will just have to see, because there’s little stopping cellular companies from dropping prices for use of their networks, just as fixed and cellular companies did when VoIP calls started threatening their customer bases. After all, with fixed and cellular calling plans now widely available, why stuff around with VoIP handsets or Skype, when you have a capped plan?

Of course life isn’t that simple, and what we have is a relatively peaceful (for now) co-existence between VoIP companies, Skype and traditional fixed and cellular phone companies. The same is likely to happen with providers of wireless broadband, whether that be via WiMAX or 3.5G or CDMA EVDO Rev A or whatever comes next from the cellular world. No doubt, Intel has a ‘WiMAX 2’ on the drawing board as well.

Eden also explained that the attach rate for 3G and 3.5G modules with notebook computers were in the single digits, a far cry from Wi-Fi modules which are included with every Centrino notebook (and indeed likely virtually EVERY notebook released today no matter what chip is inside, or whether it is an ultra mobile notebook, sub notebook, regular size notebook, Tablet PC or desktop replacement notebook).

During today’s presentation, we also learned that there were 10 trials of WiMAX networks in 2004, and by the time we get to 2008, there will be 400 WiMAX networks on planet Earth.

We also learned that Intel says the year of WiMAX will be 2008, as the notebooks they deliver then will have Wi-Fi and WiMAX modules within, coupled with an ever growing number of WiMAX networks and rollouts across the globe.

As part of Intel’s WiMAX demonstration, Intel had set up a WiMAX network outside of the Beijing Olympic Stadium, which looks much like a massive bird’s nest. On stage were two Intel representatives, one with a mobile device that was connected to the internal network, presumably via Wi-Fi, which was then connected to the WiMAX network outside.
The demo was set up to have the presenters on stage do a live high-def video interview with a fellow outside, dressed up in a construction worker’s yellow and orange uniform. As the presenter on stage remarked upon how interesting looking his costume was, the video image on-screen from outside suddenly froze up, with the response being a few cut off syllables.

This led some journalists, such as my colleague Dan Warne, from Australia’s APC Magazine, to immediately think that this was an excellent opportunity to write an article claiming that Intel’s WiMAX demonstration failed, as you’ll see from his article, complete with images of the garishly clothed interviewee outside the stadium.

So, did Intel's WiMAX demo fail, or didn't it? Please read onto page 2 for the conclusion...