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Reality Check | Ephraim Schwartz » Make way for mobile broadband

February 12, 2008 | Comments: (0)

Make way for mobile broadband

Five reasons why adopting cellular data access for laptops will be big for your business

laptops talk to towerMark my words: The enterprise will be moving away from relying on Wi-Fi hotspots in favor of mobile broadband connectivity.

Say you're a salesperson making an office visit to sell a doctor on a new drug, and the doctor says, "I need a lot more information before I consider this."

Balky Wi-Fi access and bulky brochures may not help you get it done. But if you have cellular data access via a PC Card, USB stick, or technology already embedded in the laptop, you have nothing to fear.

And the industry is already moving in this direction, as Verizon has deals in place with almost all of the major laptop OEMs, and Lenovo just announced a deal with Ericsson.

But it's more than just what the industry is doing that suggests a transition to mobile broadband connectivity. It's what cellular data access will do for you.

Return on investment
In the above example, the salesperson in the doctor's office plugs in a USB stick that is both broadband cellular modem and storage device: connect, click, click, download, detach, and hand the stick over to the doctor to upload the drug specifications to the office's computer system.

Or an insurance agent inspecting damage to a house needs more than just a handset, which is too small to comfortably depict the forms the agent must fill out. Instead, the agent uses a tablet PC.

With built-in broadband, instead of heading back to the office at 3:30 to upload the files, with a WAN card -- stick or embedded -- the agent can stay out in the field longer and upload the forms on site.

Performance
Verizon CDMA is moving beyond 3G EvDO (evolution, data optimized) to EvDO Rev. A, which will give users faster upload performance.

Whereas 3G provides 700Kbps download throughput, Rev. A will provide about 1.4Mbps. Upload will increase from 500Kbps to 800Kbps.

As for 4G, dubbed LTE (Long Term Evolution), you can expect it in about two years. It will dramatically increase the upload performance of data over cellular to peak speeds of tens of megabytes per second depending on the amount of spectrum available.

Price
Making it even more practical to use WAN instead of Wi-Fi are continually dropping prices for cellular data.

Mike Willsey, director of enterprise marketing at Verizon Wireless, says the basic business plan for data has gone from $79.99 per month for unlimited Web browsing to $59.99.

From a device perspective, so-called air cards were and still are in some cases $150 each. However, promotions are becoming standard, and Verizon Wireless, for example, is now offering a USB stick with storage for free.

Expectations
For better or worse, mostly for better, the evolution of high tech in business has always been driven from the bottom up. Here again in wireless, mobile phone users who have instant access to e-mail, data, and limited applications want the same capabilities on their far more expensive laptops. After all, it just doesn't seem right that a piece of hardware that probably cost five times more than a handset should be less capable.

Web 2.0 and SaaS
We are all witnessing the end of packaged applications and the emergence of hosted Web 2.0 apps and SaaS (software as a service). As the enterprise adopts this model, again driven from the bottom up, the need for capable devices that can do serious computing while in the field makes wide-area connectivity in a laptop a must-have.

Again, Wi-Fi won't do, and please don't send in your comments about how WiMax is the inheritor of the wireless mantle for road warriors. In this "I need it now" world, ubiquitous or, shall we just say, national broadband WiMax is just too far away.

Unless there is a dramatic change in the direction of technology, which is always possible in high tech, I predict that in two years the enterprise will adopt cellular data for laptops in a big way.

The only caveat to this prediction that I can think of is, if Web 2.0 grows fast alongside desktop virtualization, you may not need a laptop. All you would need is a large screen, a keyboard, and WAN connectivity. Heck, you won't even need your own operating system.

Posted by Ephraim Schwartz on February 12, 2008 03:00 AM


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3G in most countries when it comes to data capabilities is a total disaster, because of the very high cost of delivery, and when people find out how deficient it is they are turning it of, and using 3G as a normal mobile device for vice and SMS and the odd pic.
The manufacturers and the providers have got it so wrong. They now realise their handsets and networks are a disaster, high cost and lacking bandwidth, and they are now floating a new data standard called LTE because of the threat from WiMAX, and LTE will not be in the market for at least another 2 years and will require even more investment in hardware and software by the beleaged 3G operators around the world. They will also have to deal with WiMAX, which is already being seriously deployed, in Asia-Pacific, which will erode significant revenue opportunities away from 3G. WiMax has been designed from the ground up as a true wireless broadband IP solution and will be imbedded in many devices that people are very familiar with such as Laptops, Desktop and PDAs. I have no intention of using high cost 3G solutions for my wireless broadband solutions in Asia when there are better technology solutions.

Posted by: Andrew at February 12, 2008 11:38 PM

WiFi is dead, as we know it. It will become a bottom feeder to WiMAX. It is such a deficient product when it comes to mobile data due to its inability top handle long distance 100 Metre Max line of site. Where as WiMAX will handle many kilometres. Why would anyone invest in WiFi except where it already exists? There is some new version of WiFi for Metro and Campus, but this will be short lived. A waste of investment in Asia.

Posted by: Andrew at February 12, 2008 11:45 PM

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