December 11, 2001
Next generation wireless subscriber devices, such as handsets and wireless PDAs, represent the evolution of a new computing platform.
This market will result in a $5 billion opportunity for traditional IT industry suppliers of software and services. Additionally, a market of more than $30 billion is expected for semiconductor and other component vendors, says Andy Fuertes, Vice President of Communications Technologies with Allied Business Intelligence (ABI) and author of the new ABI report, "2.5G & 3G Handsets: The Evolution Of A New Computing Platform."
Handset vendors are now in the position of needing vast experience in areas that many have failed to master -- consumer electronics and computing. As the market develops, seasoned wireless players will find that more competition is stemming from the computing world. Wireless "know-how" is no longer a sufficient competitive advantage, and device classification and marketing are increasing in complexity.
However, narrow definitions and comparisons to PCs are clouding many players' ability to grasp what is happening in the market. Intelligence, in the form of computing power, software and connectivity are being extended to wireless devices. These new handset devices are useful tools that use computing power to facilitate the daily tasks of consumer and enterprise users while extending the traditional mobile communication realm beyond just voice. In addition, off-line applications afforded by these devices are as important as applications that involve connectivity; particularly as next generation networks continue to build out.
This study looks at the handset and wireless device market in order to identify and quantify trends and opportunities for traditional information technology and semiconductor vendors. In doing so it defines and quantifies opportunities for transceiver chipsets, memory chips, IT consulting, I/O semiconductor chipsets, video games, operating systems and browsers, security software, enterprise software, etc in the wireless arena.
Allied Business Intelligence Inc, is an Oyster Bay, NY-based technology research think tank specializing in communications and emerging technology markets. ABI publishes strategic research on the broadband, wireless, electronics, networking and energy industries. Details of these studies can be found at www.alliedworld.com. Or call 516-624-3113 for more info.
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