Wireless LAN is Wireless Carriers' Best Bet for High-Speed Data Services, Says Arena Intelligence Group

According to recent research conducted by the Arena Intelligence Group, embracing a strategy involving 802.11 based networks is the only way for wireless carriers to satisfy their customers' need for high speed data services.

In the past two years we have seen the demand for mobile connectivity to the Internet and corporate networks skyrocket, however there has not been a service or technology to satisfy that need. The real promise of 3G is several years away and even then, 3G data speeds will have a hard time reaching the speed 802.11 based networks can provide.

Other existing data services available on handheld devices offer limited download speeds. Metricom's service (now bankrupt) was far from being able to provide speeds as high as 802.11 networks can.

The lower deployment cost and high speed capability of 802.11 based networks makes it the most attractive option for wireless carriers to satisfy their customers' needs.

Early adopters of such a strategy, such as Austrian mobile phone operator ONE, which recently acquired WLAN service provider eWave, stand to benefit significantly, not only from added revenue, but also from increased customer satisfaction.

According to Ted Theologis, Managing Partner and Lead Analyst for the Arena Intelligence Group, "Without carrier involvement, revenue from mobile connectivity through public 802.11 based networks will exceed $300 million by 2003. That revenue could exceed $1 billion by 2004 if carriers decided to get seriously involved."


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