Copyright 2002 Gale Group, Inc.
Copyright 2002 Reed Business Information Limited
The threat that public access wireless LAN (PWLAN) poses to 3G mobile services has been "grossly overstated" according to the latest report from research firm, the Yankee Group.
"We do not see PWLAN solutions cannibalizing 3G revenues to any significant degree," said Declan Lonergan, Yankee's director of European wireless research and consulting.
"The differences that exist in the core value propositions offered by these two technologies should lead to the introduction of complementary, rather than competing, services.
Lonergan said there were some fundamental challenges still to be resolved before PWLAN really starts to take off, such as the technical issues involved with roaming, security, and billing.
However, annual revenues of $1.8 billion are expected from European PWLAN services by 2007, with 7.7 million active users of the technology.