The Outlook for Push-to-Talk Services in the US

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The Outlook for Push-to-Talk Services in the US

Service: Wireless Panel
Report Number: IN040868WI
Publication Date: January 2004
Number of Pages: 110
Report Price: $2,595 U.S. Dollars
Analyst: Becky Diercks

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Abstract
This most recent survey of In-Stat/MDR’s panel indicates moderate interest in Push-to-Talk (P2T), which is a walkie-talkie-type of service. Nextel has found great success in being the primary provider of this service for many years. The technology recently became available, and allows cellular providers to offer a competitive service. Today, Verizon Wireless offers its Push-to-Talk service, Sprint has its PCS ReadyLink service, and Alltel now offers Touch2Talk. Most recently, a few European providers have also announced intentions to launch these services overseas. This report discusses usage patterns of current P2T users (i.e., personal versus business, one-to-one versus group communication, and frequency of use), and their satisfaction with the service (overall, and individually, regarding price and call set-up times). It also identifies the percentage of respondents who are interested in using P2T service in the future, their intended usage patterns, the carriers from which they would be willing to subscribe to this service, and their willingness to pay. Finally, it attempts to parallel the market for personal walkie-talkie devices, and talks about how usage of these products might foretell the demand for P2T services in the future.

Table of Contents

Executive Summary
Introduction
About the Panel
Methodology for Collecting Wireless Panel Data
Research Findings
- Most Respondents Use Their Cellular Phones for Both Business and Personal Reasons
- Key Providers Used by Respondents
- Increasingly, Corporations Are Making Wireless Service Provider Decisions for Employees
- Voice Mail and Caller ID are the Most Popular and Widely Used Wireless Features
- Among Non-users, There is Significant Interest in Many Wireless Features
- Less Than Half of Respondents Who Aren't Currently Using P2T, Are Interested in Using Push-to-Talk Service
- Current Subscribers Primarily Use P2T Services for Business Purposes
- Future Users Plan More Personal Usage
- Current P2T Subscribers Rely Heavily on This Service
- Instant Communication is the Primary Benefit Envisioned From the Service
- Current and Planned P2T Subscribers Will Communicate With Different Types of People
- One-to-One Communication Dominates Usage Patterns
- Current Users Are Very Satisfied With Their Service
- Users Are Less Satisfied With Price
- Most Users Are Pleased With Current Set-up Times
- Planned Users Anticipate Short Call Set-up Times
- Flat Fees, Please
- Planned Users' Willingness to Pay is Low
- Comparatively, More Respondents Are Interested in Verizon Wireless' Service
- Walkie-Talkie Use Could Portend P2T Demand
- P2T Usage Patterns May Replicate Walkie-Talkie Usage Patterns
- P2T Usage May Not be as Regular as Cellular Usage
- P2T Usage Likely to be Most Regular at Consumer Destinations
- Cellular Phones Will Not Replace Walkie-Talkies Altogether

In-Stat/MDR (www.instat.com) is a leading provider of actionable market research, market assessments and market forecasts of semiconductor and advanced communications equipment and services. The firm's forecasts, analysis and insights are informed by both a deep technology understanding and a unique research methodology, which examines each segment of the value chain for each market. Technology vendors, service providers, technology professionals and market specialists, worldwide, rely on In-Stat/MDR's tenured, experienced staff and in-depth research to support critical technology, product and success decisions.