TAIPEI, TAIWAN: Intel Corp said there are still technical challenges that need to be solved for the new super-high-speed wireless standard, but that the firm has been encouraged by the development of WiMax in the last two years.

"This investment is largely for WiMax," Lil Mohan, managing director of Intel's WiMax program, told reporters on the sidelines of a news conference.

Mohan added that Intel expects WiMax to be commercially deployed in the second or third quarter this year in the United States, and that infrastructure in Asia should be ready by 2009-2010.

Late last year, Taiwan's government said it planned to spend $664 million in the next few years on the WiMax technology -- seen as the more advanced standard to WiFi, which only works near a transmitter.

WiMax allows anyone with a WiMax enabled laptop or media device to download songs, movies and business presentations over distances of up to 30 miles.

"Japan will probably launch the first (WiMax standard in Asia), since they have already invested lots of money," said Mohan. Taiwan and India could follow suit, he said.

Acer Inc (2353.TW: Quote, Profile, Research), the world's third-largest laptop vendor, said on Monday that it is planning to launch laptops with WiMax capabilities in June or July this year.