Umair Haque / Bubblegeneration
umair haque  


Design principles for 21st century companies, markets, and economies. Foreword by Gary Hamel. Coming January 4th. Pre-order at Amazon.

Wednesday, September 22, 2004

WiFi as substitute for 3G causes MNO's some big problems. Yeah, yeah, I know you knew about it for the last 5 years. The point is that with analysis like this:

"..."Head-to-head competition with DSL or public wireless LAN could kill profitability. Such strategies may fill 3G networks with low-margin internet traffic, leaving no space for more profitable services such as voice telephony, small-screen messaging and video content

...Several operators are experimenting with time-based and unlimited-usage tariffs. Such schemes may be simpler for users, but they inevitably jeopardize revenue per MB, and hence profitability."

it's no surprise they're getting killed - nobody wants to contract with firms whose strategy is simplistically measured by 'revenue per MB'; they want to contract with innovators who expand the pie, not keep it deliberately shrunk.

-- umair // 1:20 PM // 0 comments


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