Sculley & Perlman: Wireless World Is Breaking Open

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Feb. 19 (Bloomberg) -- Steve Perlman, founder & CEO at Rearden, and John Sculley, former CEO at Apple, discuss the development of pCell technology that ends cell phone dead zones and opens up high-speed wireless communication to all on Bloomberg Television’s “Bloomberg Surveillance.”

Um- let's give them a couple of years.

Not today.

Seriously, i'm not joking -- blackberry was too big to fail, tight?

Yes, i will say affirmatively to that question.

If another powerful party, not necessarily a carrier, potentially a platform like the google or an apple, if they took this technology and came to new york and said you'll never have a dropped call and have high- speed rock band and you don't even -- high-speed broadband, how many people would say no?

This is the toy.

We are honored to have you here, the inventor.

Do you have a question about this?

I have an observation.

I have been hanging around silicon valley for 30 years.

I saw the first moonshot when steve jobs showed me the prototype of the mac.

This is a genuine moonshot.

This is one of those tubes to transistor moments.

It fundamentally changes the ground rules for mobile wireless.

How does it work?

We turn the whole thing around.

Since the invention of wireless, all the way back to the first things, we have been trying to avoid interference between different people transmitting.

If you take cell phones, they cover several city blocks and they are trying to avoid interference.

Everyone is sharing the spectrum within those cells.

What we do is the opposite, we create interference.

We figured out a way to have radio signals coming together and where they intersect around your phone is synthesized.

It's a personal cell just for you one centimeter in size.

As you move your phone around, the cell follows you.

In times where you can never get service.

Every person in time square can be using skype or facebook.

They have a private connection.

You still need to make the connection and take that little cell and get it up to a tower and onto a broader network.

You still have to work with an existing infrastructure, don't you?

I have worked with enough companies that you can come up with the best idea the world and the large incumbents can have something you rely upon.

This time around, i said let's get it right.

We will -- we work with existing lt phones.

Second of all, if they want to give us spectrum and let us use it, groovy.

If they don't, we can use unlicensed spectrum.

There are many people sharing the same spectrum.

The third thing is we made it so it is very inexpensive to deploy infrastructure.

We don't need towers.

We have serendipitous deployment.

We don't have to have our towers in a certain location as the cell system does.

We can put them wherever we want so we find -- why wouldn't verizon or at&t or all of them say we like this technology and we will buy them and deploy them within cities?

Why wouldn't they do that?

Um - i have my mba so i won't say that they have not.

What's interesting is what we did is open up the door for non- incumbents to come in there.

These guys don't move very fast.

The existing wireless players -- the folks in silicon valley -- like blackberry, they could not move fast enough.

The physics of antennas are very complex.

I took a course in college and this is a complexity issue.

Steve has salted and he has been working on it for 10 years.

He self funded it because he made money in other ventures to be able to do that.

He has over 100 patents and applications around the world.

This is not a science project.

He has figured out the complexity of the science.

You talk about unlicensed spectrum, to what extent do you need government approval for locating these devices?

Do you also solve the policy issue of net neutrality here?

If the fcc in braces this -- embraces this and says this is a public resource, thou shalt use spectrum officially and you shall not have dropped calls in new york city.

If they say that, this is everything the fcc said was their goal.

Did you just blow up the whole idea of the government spectrum options?

You just solve the spectrum issue.

We have in a way.

Why not have spectrum?

We had a business meeting yesterday where we brought different phones.

They did not work so we asked for a landline.

He helped me through half my presentation.

If you take the spectrum that is there that they have to auction, we can use them for more significant things like opening up a whole new world.

Did the microprocessor ruin the world?

No, look at where it took us.

This is that moment.

One thing we have seen in technology is that the leader who has a monopoly in a previous era like intel and microsoft with personal computers, they are not necessarily the leaders in the next disruptive era.

This goes to clay christiansen 101. what has been the response of at&t and verizon?

Do they want to embrace this?

I cannot speak about any of them specifically.

All the major operators, not just the u.s., there is a nondisclosure agreement.

Let me talk about them broadly.

They love this.

The reason they love this is because they are dieting.

A good way to -- they are dying.

Verizon recently said we cannot serve the demands that we have in new york, chicago, san francisco, dallas.

There is a physical limit.

In terms of congestion -- when do i get it?

When can i buy it?

That's the smartest question i've heard.

In one block of san francisco around our lab, there is unlimited lt capacity.

We are growing out from there.

It depends on who we partner with.

It can be available as soon as the fourth quarter of 2014.

This text has been automatically generated. It may not be 100% accurate.

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