» 3G Wireless Data Services Popular Among Corporate UsersTelecommunications Industry News

Telecom News Editorials Reports Glossary

3G Wireless Data Services Popular Among Corporate Users

7:55 am on February 28, 2006 | Category: Business, Mobile Devices, Telecom Services

Large business and enterprise-level customers are spending more money on wireless data services, according to a recent survey from market research firm, In-Stat.

The survey suggests that the gap between voice and data spending has narrowed, with 44% of wireless budgets now being spent on data, versus 56% on voice. Businesses have traditionally allocated about two thirds of their wireless spending towards voice services.

This change has been brought about by a decline in the cost of voice communication, as well as a wider variety of high-speed data services now being available, thanks to 3G cellular technology.

Wireless providers have spent billions of dollars over the last few years to upgrade their networks to enable 3G data services. They have been counting on this to replace the revenue lost due to declining voice prices.

Overall, 3G data networks have had mixed results in consumer markets, with many customers being reluctant to pay the high prices associated with mobile data access. Corporate users, however, have flocked to the new technology, due to its obvious benefits to business communication.

â€œWireless operators have struggled to give consumers a compelling reason to subscribe to 3G data services,â€ said In-Statâ€™s director of wireless research, Allyn Hall. â€œBut it’s clear that large companies are much more interested in mobile data and willing to pay for the increased coverage it offers them over Wi-Fi and WiMax.â€

In addition to its findings about 3G penetration, In-Stat also confirmed that most corporate users rank either Cingular or Verizon Wireless as their top choice for mobile phone service.

Telecommunications Industry News