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Discover What Consumers Want from Wi-Fi and Mobile

Consumers have a true love of mobile devices, as evidenced by recent Cisco mobile consumer research.  Significant percentages of respondents reported using everything from laptops, smartphones, and tablets to eReaders and mobile gaming devices. Americans now own an average of three mobile devices each, up from 2.6 devices in the 2012 Cisco mobile consumer study.  Perhaps more significant, our findings show that the number of smartphone users has grown by 21 percent in just one year, now reaching 68 percent of the population, at the expense of basic phones. Most remarkable is that the number of tablet owners has expanded by over 90 percent in just one year, with close to four out of ten consumers possessing one of these new devices.

The insatiable demand for mobile devices and new applications that use large amounts of bandwidth is generating staggering volumes of mobile data. In parallel, the use of Wi-Fi for Internet access is exploding, as more mobile devices are Wi-Fi enabled, the number of public hotspots expands, and user acceptance grows. Most mobile operators now realize that offloading data traffic to Wi-Fi can, and must, play a significant role in helping them avoid clogged networks and unhappy customers. Many service providers are now constructing extensive networks of public Wi-Fi hotspots for use by their mobile or home broadband customers. The networks allow mobile offload and help enhance and differentiate their offerings. In addition, service providers are struggling to understand new business models for making money from Wi-Fi.  However, very little is currently known about how consumers are actually using public Wi-Fi and how they view the overall experience. Nor is there much information about mobile users’ appetite for these new services, their willingness to use them, or their privacy or security concerns surrounding these data-based services.

To learn more, Cisco conducted a survey of 620 U.S. mobile users to understand their needs and behaviors, use of devices, applications and mobile access technologies, and how they have changed since our 2012 mobile consumer study.

Top 10 Research Findings Read More »

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Unlocking Wi-Fi Enabled Value-Added Services

Competing with the virtual, e-commerce world is becoming increasingly challenging for real-world businesses. Traditional retailers have long envied the massive amounts of valuable data that online retailers have available to help them better understand customer behavior and implement winning marketing tactics. Online retailers know valuable information such as how frequently customers return, how long they spend on their sites, what the customers looked at but didn’t buy, and where they went before and after coming to the site. Businesses as diverse as hotels, banks, stadiums, airports, and large public venues are all looking for ways to get similar detailed data on customer activities in their facilities, so they can improve the customer experience and their bottom lines. The data and insights have not been available to bricks-and-mortar facilities, until now.

That situation is changing through the growing availability of Wi-Fi in business locations. Many retailers, hotels, and other businesses are increasingly offering Wi-Fi as a service that allows their customers to connect mobile devices to the Internet. Hidden in this valuable service is a vast amount of information and insight, which retailers and others can use to deliver tangible value to their bottom lines. Hypersensitive location information, device details, identification of returning customers, and sophisticated path analysis are just some of the customer data captured by Wi-Fi networks. Businesses are now realizing that the data and capabilities offer new ways to improve the customer experience and support a range of market-leading monetization models.

For many businesses, these new location-based experiences and Read More »

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Mobile Data Traffic Is Exploding—but Who Is Profiting? How Mobile Service Providers Can Monetize Mobile Data

By Marc Latouche, Vertical Manager, IBSG Service Provider

The Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast Update projects a 13-fold increase in global mobile data traffic between 2012 and 2017 — two thirds of it video. To move all that data traffic with speed and quality, mobile network connection speeds will increase sevenfold by 2017. Clearly, mobile data services are becoming increasingly important. The question is, who will capture the revenue associated with all this activity? While mobile service providers (SPs) invest in building and maintaining the infrastructure to carry this burgeoning mobile traffic, over-the-top (OTT) content providers are benefiting from that new capacity, enabled and financed by mobile SPs.

Where are the revenue growth opportunities for service providers in this fast-changing mobile data landscape? Are there opportunities for mobile network operators to partner with OTTs, or to provide services that can extract greater value from the network? Read More »

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Wi-Fi: A Major “Hotspot” for Service Providers

By Tony Verspecht and Luiz Lima, Cisco Internet Business Solutions Group (IBSG)

Growth in mobile network traffic is staggering: Driven by the onslaught of devices that are now connected to the Internet, mobile data traffic is expected to grow three times faster than fixed IP traffic, exceeding 6 exabytes per month by 2015, according to the Cisco Visual Networking Index. This presents service providers (SPs) with a tremendous opportunity to invest in Wi-Fi services to create carrier-class Wi-Fi experience and increase revenues.

While specialized providers have operated commercial Wi-Fi hotspots for nearly two decades, most SPs see Wi-Fi as a fairly new business. To understand the implications of Wi-Fi on SP operations, Cisco® IBSG interviewed a number of SP executives. Following are some of the key insights, which are further discussed in “Wi-Fi for Service Providers: Challenges and Opportunities for Carrier-Class Operations”:

  • Basic Wi-Fi service coverage expansion is still the main driver—Even among established Wi-Fi SPs with a large number of hotspots, the average yearly increase in access points is 14 percent.
  • Value-added Wi-Fi services Read More »

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