Worldmax decides to close WiMAX network

AMSTERDAM, NETHERLANDS: Dutch WiMAX service provider Worldmax decided to close down its WiMAX network per August 1st 2010. Worldmax had started its service in 2009 under the brand "aerea".

It’s the second WiMAX operator to end services after UK-based Freedom4 sold its license to Broadband UK last week.

Also Read: WiMAX: The wireless Broadband

End of 2009, Worldmax was informed by the Dutch government that it was causing radio interference with satellite stations in Burum, owned by the Ministry of Defense.

In the interest of national security the government saw no other option than to put major restrictions on the Worldmax license. After starting court proceedings end of last year, parties have now settled this issue out of court.

The restrictions to the license makes Worldmax' business plan for the Netherlands no longer viable, leaving no other option to the company than to close down the network.

Keimpe B. Algra, CEO, Worldmax, said: "This restriction imposed by the Ministry of Defense makes us feel like landowners being expropriated on the basis of National and European security. The disillusion amongst us and our shareholders was huge when we saw investments made becoming immediately worthless."

"While I am relieved that we could settle the issue after months of negotiation and uncertainty, it does hurt me badly to conclude that this is the end of a well established mobile broadband venture. This is bad news for our customers and a depletion of the already impoverished telecoms market in the Netherlands," he added.

Worldmax' customers will be informed personally about this decision. July will be the last month of service. The company has reached out to other providers to ensure a proper service transition.