Corporate Use of Wireless Data Services Continues to Grow
SCOTTSDALE, Ariz., March 5, 2002 -
In-Stat/MDR (www.instat.com ) expects the number of business wireless data users to grow from 6.6 million at the end of 2001, to more than 39 million in 2006. Although there is activity in the consumer market, the business segment (including SOHO, small, medium and large companies) is currently, and will remain, the largest group of wireless data services users throughout this timeframe. The high-tech market research firm projects that the increase in business subscribers will result in improved service revenues to wireless data carriers with revenues derived from the US business market growing from $4 billion in year-end 2001, to more than $16 billion by year-end 2006.
According to Becky Diercks, Director of Wireless Research at In-Stat/MDR, “While there are many trends driving wireless data usage in corporations, including the increase in mobile workers and potential productivity gains, there continue to be many drawbacks. In a recent survey, IT respondents cited geographic coverage and reliability of connections as primary inhibitors to adoption.” Security is also of major concern. Despite these barriers, many companies are now assessing strategies to provide wireless access to corporate computers and networks. “This is not a simple undertaking. These companies must identify which applications, devices and services to use and whether to use an in-house, licensed software solution, or a hosted, Wireless Application Service Provider (W-ASP) model, or some combination of the two.” This, and the industry down-turn after the events of September 11th, 2001, have resulted in a current lull in enterprise adoption of wireless data services, during a period of time in which rapid industry expansion was expected. While growing today, the market will pick up more dramatically in 2003.
In-Stat/MDR also found that:
Historically, industry-specific applications have driven the market for wireless data, which is why the market has not grown very rapidly. Today, however, horizontal applications that can be used across industries, especially e-mail, are leading the charge in this market.
Approximately 23% of workers in medium and large businesses are considered mobile; that is, they spend 20% or more of their time away from the office or campus environment.
Whether choosing an in-house or outsourced solution, respondents to In-Stat/MDR’s recent survey agree that price and reliability/dependability/stability are the key factors that will help them choose a wireless ASP or licensed solution provider.
Recent In-Stat research, Wireless Data Adoption in the Enterprise (#IN020426MD), provides information on many of the issues surrounding wireless data implementation in the business environment. This report reviews barriers and benefits to implementation, and information on applications, services, and devices planned as part of their wireless data solution. Wireless data business subscriber and service revenue forecasts are included.
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