Wi-Fi-enabled handset shipments growing fast, says ABI Research
Dual-mode cellular/Wi-Fi handset shipments will double between 2009 and 2011, and this year is expected to see 144 million handsets shipped, with forecasts for 2011 at just over 300 million, according to ABI Research.
"Wi-Fi's penetration into handsets has more momentum than the bad economy," said industry analyst Michael Morgan. "It has become a must-have item much as Bluetooth did earlier. But just having Wi-Fi in the handset is not enough. You have to have a reason for customers to use it. Until now it has been predominantly for data use, with voice struggling to find its niche."
However mobile operators' attitudes to Wi-Fi have been changing. At first many feared that Wi-Fi would take traffic off their networks, resulting in lost revenues. Now they are starting to realize that it may instead mean an increase in available network capacity.
How operators view Wi-Fi is largely a function of their particular circumstances, said Morgan. "Verizon has not enthusiastically embraced Wi-Fi in its handsets, while AT&T has. AT&T was thrown into the pool by the iPhone. Previously people did access data, but the iPhone led people to use Wi-Fi to a degree never seen before. Traditionally cautious Verizon has not been thrown into that situation yet, but they are warming up to Wi-Fi."
Wi-Fi's benefits depend on a carrier's circumstances too. Consider T-Mobile: a wireless carrier that owns no landline assets. It used Wi-Fi (via "hotspot at home" access points) to deliver an improved in-home service that it could not achieve before. In contrast, AT&T does have landline assets. Here Wi-Fi's benefit is to take a load off AT&T's cellular network.
"The picture may be unique to each carrier," Morgan concluded. "But in the end Wi-Fi can offer most operators those two key benefits: extended reach and/or network load reduction."
"Wi-Fi's penetration into handsets has more momentum than the bad economy," said industry analyst Michael Morgan. "It has become a must-have item much as Bluetooth did earlier. But just having Wi-Fi in the handset is not enough. You have to have a reason for customers to use it. Until now it has been predominantly for data use, with voice struggling to find its niche."
However mobile operators' attitudes to Wi-Fi have been changing. At first many feared that Wi-Fi would take traffic off their networks, resulting in lost revenues. Now they are starting to realize that it may instead mean an increase in available network capacity.
How operators view Wi-Fi is largely a function of their particular circumstances, said Morgan. "Verizon has not enthusiastically embraced Wi-Fi in its handsets, while AT&T has. AT&T was thrown into the pool by the iPhone. Previously people did access data, but the iPhone led people to use Wi-Fi to a degree never seen before. Traditionally cautious Verizon has not been thrown into that situation yet, but they are warming up to Wi-Fi."
Wi-Fi's benefits depend on a carrier's circumstances too. Consider T-Mobile: a wireless carrier that owns no landline assets. It used Wi-Fi (via "hotspot at home" access points) to deliver an improved in-home service that it could not achieve before. In contrast, AT&T does have landline assets. Here Wi-Fi's benefit is to take a load off AT&T's cellular network.
"The picture may be unique to each carrier," Morgan concluded. "But in the end Wi-Fi can offer most operators those two key benefits: extended reach and/or network load reduction."
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