Industry Research Reports and Market Analysis at MindBranch.com
  

Public wireless LANs: Hotspots - finally heating up?

Product Type: Market Research Report
Published by: Datamonitor
Published: September 2003
Product Code: R313-5919
Description
Introduction
This report analyzes the opportunities for technology vendors and service providers targeting the global market for public wireless local area networks (PWLANs), also commonly known as ‘hotspots’. The report provides market forecasts and effective go-to-market strategies, as well as Datamonitor’s perspectives on some pertinent industry issues.

Report Highlights
* At present, the leading region in terms of PWLAN locations is Asia Pacific, though Datamonitor expects the North American and EMEA markets to catch up and surpass the forerunner in terms of overall numbers in 2004 and 2006 respectively.

* Build out of PWLAN locations will reach its apogée in 2004 as service providers and premises owners launch services in new locations and continue their investment in their PWLAN businesses. From 2005, the pace of hotspot roll-out will slow as prime locations for PWLAN services are accounted for.

* Datamonitor maintains its position that PWLAN is not a true competitor to third generation mobile services. However, Datamonitor does believe that in certain niche markets, PWLAN services may impact the revenues which 3G operators would otherwise have been guaranteed.

Scope
Forecasts the growth in the roll-out of PWLAN locations by type and geography and assesses the usage of PWLAN services to 2006

Analyzes the drivers and inhibitors impacting the PWLAN market and the variety of business models and service provider offerings that have emerged

Identifies strategic and tactical recommendations for both PWLAN service providers and network equipment vendors

Examines the global PWLAN market, focusing on the opportunities in EMEA, Asia Pacific and North America

Reasons to Purchase
* Quantification of hotspot roll-out and revenue opportunities by geography and location type will aid business and strategic planning

* Strategic and tactical success factors will support vendors' channel strategies and service providers’ revenue generation potential

* Analysis of the likely PWLAN market developments will enable vendors and service providers to improve their product positioning

Table of Contents
TABLE OF CONTENTS

CHAPTER 1 EXECUTIVE SUMMARY 3

1.1 Hotspots: finally heating up? 3

1.2 Market context 3

1.3 Customer focus 5

1.4 The future decoded 6

CHAPTER 2 INTRODUCTION 16

2.1 What is this report about? 16

2.2 Who is the target reader? 16

2.3 How to use this report 16

2.4 Forecasts and assumptions 17

2.5 Scope of the report 17

CHAPTER 3 MARKET CONTEXT 18

3.1 Introduction 18

3.2 Key findings 18

3.3 Where are we now? 19

3.4 Factors influencing market conditions 22

3.5 Wireless LAN technology 23

3.6 The wireless LAN value chain 32

3.7 Service provider offerings 37

3.8 PWLAN business models: harder than the technology to get right 42

3.9 The impact on cellular communications: limited 52

CHAPTER 4 CUSTOMER FOCUS 55

4.1 Introduction 55

4.2 Key findings 55

4.3 Defining PWLAN locations 56

4.4 Success factors for network equipment vendors 59

4.5 Success factors for service providers 62

4.6 Can PWLAN services make money? 66

CHAPTER 5 THE FUTURE DECODED 69

5.1 Introduction 69

5.2 Key findings 69

5.3 PWLAN location build-out 71

5.4 Users of PWLAN locations 77

5.5 Infrastructure opportunities 85

5.6 Service provider revenues from PWLAN locations 90

5.7 Conclusion 95

CHAPTER 6 APPENDIX 96

6.1 Definitions 96

6.2 Research methodology 99

6.3 Further readings 100

6.4 SPP writing team 101

6.5 How to contact experts in your industry 101





LIST OF FIGURES

Figure 1: The public wireless LAN value chain 4

Figure 2: PWLAN locations by size band 5

Figure 3: Number of PWLAN locations by region to 2006 6

Figure 4: Market for network infrastructure installed on PWLAN locations to 2006 ($ millions) 7

Figure 5: Likely outcomes for public wireless LANs on the technology hype curve 21

Figure 6: Comparison of wireless LAN technologies 24

Figure 7: Typical public wireless LAN infrastructure 26

Figure 8: The public wireless LAN value chain 33

Figure 9: The business case for PWLANs 35

Figure 10: Competitive dynamics in the South Korean PWLAN market 41

Figure 11: Characteristics of PWLAN business models 43

Figure 12: Differences between UMTS and WLAN technologies 53

Figure 13: PWLAN locations by size band 58

Figure 14: Number of PWLAN locations by region to 2006 71

Figure 15: Number of PWLAN locations in Western Europe by geography to 2006 74

Figure 16: Global PWLAN locations by location type to 2006 75

Figure 17: Number of users of PWLAN locations by region to 2006 (millions) 77

Figure 18: Proportion of PWLAN users in EMEA by type to 2006 79

Figure 19: Proportion of PWLAN users in North America by type to 2006 80

Figure 20: Number of users in EMEA by payment type to 2006 (millions) 81

Figure 21: Number of users in North America by payment type to 2006 (millions) 82

Figure 22: Number of WLAN-enabled laptops in use by region to 2006 (millions) 85

Figure 23: Shipments of WLAN-enabled laptops in Western Europe by geography to 2006 (millions) 87

Figure 24: Market for network infrastructure installed on PWLAN locations to 2006 ($ millions) 88

Figure 25: Revenues from PWLAN services by region to 2006 ($ millions) 90

Figure 26: Mobile data revenues from cellular communications by region to 2006 ($ millions) 92

Figure 27: Revenues from PWLAN services as a percentage of mobile data revenues from cellular communications by region to 2006 94

Figure 28: Datamonitor’s market expertise and research and analysis methodology 99





LIST OF TABLES

Table 1: Number of user sessions required to break even on a PWLAN investment by type of connection 67

Table 2: Number of PWLAN locations by region to 2006 71

Table 3: Number of PWLAN locations in Western Europe by geography to 2006 74

Table 4: Global PWLAN locations by location type to 2006 75

Table 5: Number of users of PWLAN locations by region to 2006 (millions) 77

Table 6: Number of PWLAN users in EMEA by type to 2006 (millions) 79

Table 7: Number of PWLAN users in North America by type to 2006 (millions) 80

Table 8: Number of users in EMEA by payment type to 2006 (millions) 81

Table 9: Number of users in North America by payment type to 2006 (millions) 82

Table 10: Number of PWLAN business users in EMEA by vertical market to 2006 (millions) 84

Table 11: Number of WLAN-enabled laptops in use by region to 2006 (millions) 85

Table 12: Shipments of WLAN-enabled laptops in Western Europe by geography to 2006 (millions) 87

Table 13: Market for network infrastructure installed on PWLAN locations to 2006 ($ millions) 88

Table 14: Revenues from PWLAN services by region to 2006 ($ millions) 90

Table 15: Average revenues per PWLAN location per annum by region to 2006 ($) 91

Table 16: Mobile data revenues from cellular communications by region to 2006 ($ millions) 93

Table 17: Revenues from PWLAN services as a percentage of mobile data revenues from cellular communications by region to 2006 95
Ordering and More Information
Price and Delivery Options


MindBranch has been the leading provider of industry and investment research from more than 550 independent research firms since 1992. With over 90,000 market research reports, MindBranch is your trusted source of competitive business intelligence.