WiMAX is different from WiFi in many respects. The WiFi MAC layer uses contention access. This causes users to compete for data throughput to the access point. WiFi also has problems with distance, interference, and throughput and that is why triple play (voice, data, video) technologies cannot be hosted on traditional WiFi. In contrast, 802.16 uses a scheduling algorithm. This algorithm allows the user to only compete once for the access point. This gives WiMAX inherent advantages in throughput, latency, spectral efficiency, and advanced antenna support.
Companies developing radical innovations may adopt different stances not only based on the strategic interests of the company but also by taking into other considerations such as the market and its needs and requirements, as well as other products it may carry.
When comparing WiFi and WiMAX, one is comparing their substitutability and complementary to existing technologies and how different companies have and will view them. WiMAX and WiFi can offer some potentially significant cost savings for mobile network operators by providing an alternate means to backhaul BS traffic from cell site to the BS controllers. Mobile network operators typically utilize some type of wired infrastructure that they must buy from an incumbent operator. A WiFi or WiMAX mesh can offer a much more cost-effective backhaul capability for BSs in metropolitan environments.
Using WiFi and WiMAX open broadband wireless standards and implementing mobile computing, governments and partners can quickly and cost-effectively deploy broadband to areas not currently served, with little or no disruption to existing infrastructures. Standards-compliant WLANs and proprietary WiFi mesh infrastructures are being installed rapidly and widely throughout the world. Standards-compliant WiMAX products can provide NLOS backhaul solutions for these local networks and WiMAX subscriber stations can currently provide Internet access to customers such as schools and other educational institutions and campuses.
The results of the comparison show that mobile WiMAX has better performance in all the areas listed above (where it shares performance enhancing features with EVDO and HSDPA/HSPA). Furthermore, the technologies on which mobile WiMAX is based result in lower equipment complexity and simpler mobility management due to the all-IP core network. They also provide mobile WiMAX systems with many other advantages over CDMA-based systems such as
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