Market trends for convergence: Cellular/Wi-Fi devices, wireless VoIP and converged services Monica Basso Research Director Notes accompany this presentation. Please select Notes Page view. These materials can be reproduced only with Gartner's official approval. Such approvals may be requested via e-mail — vendor.relations@gartner.com. Road to Wired/Wireless Convergence Converged Network IP Ethernet Many Networks IP Everywhere Steps Along the Road IP Cellular Wi-Fi/Cellular Convergence (Voice) Wi-Fi/Cellular Roaming (Voice) Wired/Wireless Backbone Convergence (IMS) Unlicensed Mobile Access (UMA) Wireless Voice Wired Access @ Wireless Access (WiMax) Data Wired Wi-Fi Voice Wi-Fi/Cellular Convergence (data devices) LAN/WLAN Convergence 2006 2008 2010+ New Cellular-WiFi devices Cellular/Wi-Fi devices: Ericsson P990 (IPT client support unclear) Nokia E60, E60 and E70, all with IPT clients for Avaya and Cisco QTEK 9100+8300 Motorola CN620 (and others) Nokia 9500 (Series 80 – unclear whether/which the IPT clients) Alcatel One-touch 701 Wi-Fi only handsets: BlackBerry 7270 (Avaya IPT) Cisco Wireless IP-phone 7920 Others from Mitsubishi etc WLAN-Enabled VOIP Device Strategies WLAN-only soft phones Full member of PBX/IP-PBX Firebox "Deskphone" Discrete Cellular/WLAN operation Seamless desk phone to mobile phone roaming Seamless mobile phone to IP-PBX phone roaming Motorola CN 620 Wireless Voice: Still the Dominant application Infrastructure costs 4x basic wireless networking to support VoIP Only 5 percent terminations But 80 percent of employees will use it occasionally, e.g. SOHO, Skype... VoIP over Wireless Shift from fixed to mobile continues Mobile replaces corporate PBX – Requires customized contracts – Indoor coverage limitations – May lose some PBX features Cellular replaces fixed lines Cellular voice trends Costs fall, bundles grow “Free” voice and data Operators look for value-added services to preserve the “cash cow” Operator voice profits fall Convergence: Carriers and Services Bundling — multiple vertical services, but little integration Access Network Services Content and media Cellular Customer care Games WiFi hotspots Billing and support Music Fixed telephone Directory services Video Fixed Broadband Messaging, e-mail, voicemail Ring tones Broadcast Authentication News Wireless Broadband Presence Payment Convergence — horizontally, integrated service combinations Mobile Operator Disintermediation WiFi and wireless broadband attack 3G DVB and DABS broadcast compete with streaming media 3rd party media portals (e.g. iTunes) compete with operators Outsourcers and service providers attack value-added applications Internet access and browsers on phones sideline WAP and operator portals Handset e-mail and IM erodes SMS, MMS “Free” VoIP over WiFi / WiMax / Bluetooth erodes voice traffic Bluetooth and WiFi on handsets attacks everything Recommendations Aggregate mobile and remote access technologies into consistent services for users — independent of the access technology. Test WLAN-enabled cell phones to assess their impact on the future direction of in-building communications. Explore wireless VoIP for special cases such as campus environments with low employee density. Prepare for the evolution of the network infrastructure. Explore bundled and converged offerings, but resist to operator pressure for value-added services that don’t match enterprise needs.