Wednesday, August 31, 2005

[MBP] Mobile Pipeline - 08.31.2005 - 3G Gets A Chance

Mobile Pipeline Newsletter
www.MobilePipeline.com
Wednesday, August 31, 2005


In This Issue:
  • Editor's Note: 3G Gets A Chance
  • Top Mobile News
        - Verizon Cuts EV-DO Prices, Expands Coverage
        - Finnish Testers Said Eager For Cell Phone TV
        - Vendor To Ship Laptop Fuel Cell Next Year
        - More News...
  • Editor's Picks
        - How-To: Protecting Against Wi-Fi Bandwidth Vampires
        - Technology Overview: Fuel Cells Becoming Mobile Battery Alternative
        - How-To: Mobile Device Management Made Easy
        - More Picks...
  • Voting Booth: Location-Based Cell Phone Marketing
  • Get More Out Of Mobile Pipeline
  • Manage Your Newsletter Subscription


    ------- Advertisement -------------------
    Join Intelligent Enterprise for a FREE, live TechWebCast: The 'Dirty Secret' of Enterprise Data... and how savvy companies are removing hidden barriers to data integration. Join us online and discover how to pinpoint your hidden problem areas and -- more importantly -- how to eliminate them.
    Wednesday, September 14, 2005 at 9:00 AM PT / 11:00 AM CT / 12:00 PM ET
    "http://www.techweb.com/webcasts/silvercreek091405"

    -----------------------------------------

    Editor's Note: 3G Gets A Chance

    Verizon's 3G price cut this week is one of those rare marketing moves that will profoundly impact both an entire industry and its customers.

    That's my prediction even though Verizon's new $60 a month price for its EV-DO service is still too high for widespread adoption. Plus, by requiring a two-year contract to get that price, Verizon and its competitors continue to impose the out-of-date business model for cellular voice service on enterprise and individual customers who are accustomed to easier, cheaper ways of acquiring Internet access.

    However, this price cut is the first serious indication of competition by 3G providers, which makes it important for at least five reasons.

    It launches an era of both competition and convergence for mobile access. With their high prices, the cellcos had been acting as though 3G was the only mobile connectivity game in town. It wasn't, as Verizon's anemic 3G subscription numbers showed. Wi-Fi hotspots were cheaper and faster, mobile WiMAX will arrive, in pre-standard form, as early as next summer and Qualcomm's acquisition of Flarion Technologies is an indication it will push FLASH-OFDM as a viable form of mobile access. Lower prices mean that 3G will compete with those other wireless broadband technologies, which will, ultimately, improve service and drive down costs. It also will encourage convergence using technologies such as UMA, which provides seamless handoffs between cellular and Wi-Fi networks. At a less complex level, WLAN vendors such as D-Link already are announcing 3G/Wi-Fi routers.

    More complex applications will emerge. Many enterprises have mobilized key applications in the last couple of years. However, since most of those organizations have been using either slower access, such as older-generation cellular data, or sporadic connections such as hotspots, the applications typically are simple. 3G, on the other hand, provides reasonably ubiquitous access and is fast enough for more complex applications. And, in the next year or so, 3G will get much faster, encouraging even more advanced applications.

    It will accelerate overall growth of mobile access. While the price of 3G needs to come down even further, Verizon's price cut will nonetheless attract some new customers and those customers will talk. That word of mouth will help speed adoption of fast wireless service, particularly after the next round of 3G price cuts. This initial price cut will start that ball rolling.

    It puts the cellcos in a stronger position to fight wireless VoIP. I still believe wireless broadband VoIP is potentially a killer app that could seriously hurt cellular operators. All manner of new players will be getting into both the mobile access and mobile voice games. But lower 3G prices mean the cellcos can fight back with competitive voice and access bundles.

    It will help cellular operators better sort out what services users want. Faced with declining voice revenues and a serious threat down the road from wireless VoIP, cellular operators have been throwing new data services against the wall to see what sticks. Some, like the enterprise-focused location services rolled out last week by Sprint, should succeed. Others, like broadcast TV and streaming video, will likely only be niche products while still others, such as mobile music services to be launched by Sprint and Verizon, and others, will succeed, but only if the cellcos aren't greedy. So far, the fate of all these services has been speculative. As prices come down and more people adopt 3G, the winning and losing services will become obvious.

    Ordinarily, price cuts are of greatest value to the company. This time, however, I believe a single price cut is about to start a series of events that will accelerate widespread changes in how we get information and where we can get it from.

    David Haskin
    Editor, Mobile Pipeline
    dhaskin@earthlink.net
    www.MobilePipeline.com


    Keep Getting This Newsletter
    Don't let future editions of Mobile Pipeline Newsletter go missing. Take a moment to add the newsletter's address to your anti-spam whitelist:

    mobiled@techwire.com

    If you're not sure how to do that, ask your administrator or ISP. Or check your anti-spam utility's documentation. Thanks.


    Top Mobile News

    Verizon Cuts EV-DO Prices, Expands Coverage
    Before Sprint Nextel's 3G launch gathers momentum, Verizon announces a 25% price cut for its EV-DO cellular service and has expanded coverage.

    Finnish Testers Said Eager For Cell Phone TV
    A pilot program in Helsinki found that 41 percent of those who tried mobile TV for several months would be willing to pay to continue receiving it

    D-Link To Sell Wireless Broadband Wi-Fi Router
    Aimed at consumers and small businesses, the router will distribute 3G and FLASH-OFDM wireless broadband connections.

    Cingular, Moto Apple Said Ready To Unveil iTunes Phone
    Motorola, Cingular and Apple are set to roll out the long-awaited, much-discussed iTunes phone next week, an industry analyst says.

    Cameraphones Create Standalone Digicam Sales, Survey Finds
    Almost a third of respondents in an IDC survey said they will buy a standalone digital camera after being introduced to digital photography by their cameraphones.

    Vendor To Ship Laptop Fuel Cell Next Year
    The system, which coverts methanol into hydrogen for fuel, has twice the energy density of standard lithium batteries, the vendor claims.

    Report: Wi-Fi Continues Its Explosive Growth
    Worldwide Wi-Fi deployment continued on a tear with unit shipments increasing 7 percent between the first quarter and second quarter this year, according to a report from Infonetics Research that was released Friday.

    Cell Phone 'Most Indispensable' Tool For Financial Execs
    A survey of 1400 chief financial officers found that most said their cell phones are their most indispensable mobile tool, although a small majority prefer their iPods.

    Cell Service Coming To NYC Subways
    New York's transit authority asked for bids for systems that would enable use of cell phones from all carriers in the majority of the city's subway stations.

    LaundryView Sends Dirty Clothes Status To Cell Phones
    A new system aimed at college campuses notifies students of the status of their soon-to-be cleaned togs via their mobile devices.


    Editor's Picks

    How-To: Protecting Against Wi-Fi Bandwidth Vampires
    Wireless networking opens up the enterprise network to all kinds of viruses, malware and black hat hackers. It's not as tough as you think to get protection -- here's what you should do.

    How-To: Mobile Device Management Made Easy
    The new network edge consists of myriad mobile devices spread hither and yon. Here's how to start centrally securing and managing those devices.

    How-To: Mobile Device Management Made Easy
    The new network edge consists of myriad mobile devices spread hither and yon. Here's how to start centrally securing and managing those devices.

    Technology Overview: Fuel Cells Becoming Mobile Battery Alternative
    Mobile devices need ever-more power and fuel cells are emerging as a longer-lasting, renewable alternative to batteries.

    How-To: Making A Mesh Of Your WLAN
    Wireless mesh isn't just for city-wide deployments. It's an increasingly popular option when wired connections aren't feasible. Here are the basics.

    Industry Insider: Behind the Cisco, Intel Alliance
    The new alliance between Cisco and Intel is good for both companies and maybe even for their customers, an industry expert explains.

    Top Trend: From Mobile Observer's Frank Bulk
    The wireless convergence market is very young and the supporting technology awkward and immature, but different approaches to convergence are being worked out. We take a look at VeriSign's plans to bridge VoIP, cellular and traditional voice. Subscribe to Mobile Observer.


    Voting Booth: Location-Based Cell Phone Marketing

    Cast Your Vote Now!
    Many marketers want to implement location-based marketing that will deliver, for example, cents-off coupons for a store you are walking past. Would you like to receive such marketing on your cell phone?


    Get More Out Of Mobile Pipeline

    Try Mobile Pipeline's RSS Feed
    Mobile Pipeline's content is available via RSS feed: Get RSS link. The feed is also auto-discoverable to many RSS readers from the Mobile Pipeline home page. Note: RSS feeds are not viewable in most Web browsers. You need an RSS reader, Web-based service, or plug-in to view RSS. Find out which RSS readers the Pipeline editors recommend.

    Check Out Our Mobile Product Finder
    Don't reinvent the wheel. Find the right off-the-shelf product to do the job. How do you find the right one? Two words ... Product Finder:
       - Smart Phones/Communicators
       - Handhelds
       - Wireless Middleware
       - Hotspot Providers

    Discover All The Pipelines
    Mobile Pipeline is part of a large series of specialized IT sites from the TechWeb Network. Find out more about the Pipelines on the TechWeb Network Pipeline Publications page. Every Pipeline site has its own newsletter. Give them a try!

    Recommend This Newsletter To A Friend
    Do you have a friend or colleague who might enjoy this newsletter? Please forward it to him or her and point out the subscription page.


    ------- Advertisement -------------------
    Join Intelligent Enterprise for a FREE, live TechWebCast: The 'Dirty Secret' of Enterprise Data... and how savvy companies are removing hidden barriers to data integration. Join us online and discover how to pinpoint your hidden problem areas and -- more importantly -- how to eliminate them.
    Wednesday, September 14, 2005 at 9:00 AM PT / 11:00 AM CT / 12:00 PM ET
    "http://www.techweb.com/webcasts/silvercreek091405"

    -----------------------------------------

    Manage Your Newsletter Subscription

    To unsubscribe from, subscribe to, or change your e-mail address for this newsletter, please visit the Mobile Pipeline Subscription Center.

    Note: To change your e-mail address, please subscribe your new address and unsubscribe your old one.

    We take your privacy very seriously. Please review our Privacy Policy.

    Mobile Pipeline Newsletter
    A free service of Mobile Pipeline and the TechWeb Network.
    Copyright (c) 2004-2005 CMP Media LLC
    600 Community Drive
    Manhasset, NY 11030