Today, the GSMA announced an initiative backed by operators, device suppliers,
software firms and chipset vendors to drive awareness of mobile broadband
connectivity embedded within computing devices such as notebooks. The
initiative's primary focus is a graphic service mark bearing the words "Mobile
Broadband" to be attached to notebooks and designed to help customers know which
laptops are mobile-broadband enabled. The GSMA expects a global media spend of
$1 billion around this service mark within the next year to create awareness of
mobile broadband access.
ABI Research principal analyst Dan Shey
comments, "HSPA broadband networks are firmly anchored in major metropolitan
areas of Europe, North America and other parts of the developing world and are
the foundation for pushing sales of devices with embedded cellular modems. But
awareness of embedded mobile broadband has not been high, as operators are the
main proponents of mobile broadband, primarily through sales of PC Cards and USB
modems. This initiative is designed to raise awareness of devices with embedded
cellular connectivity such as laptops, UMPCs, MIDs and eventually consumer
electronics."
But is this initiative good for everyone? Says Shey, "This
initiative poses the greatest challenges for operators. On one hand, more
devices that are cellular enabled will create more opportunity to sell mobile
broadband services. However, except for standard practices of bundling, offer
design, and subsidization, it is unclear how operators will differentiate their
mobile broadband services as more devices have embedded cellular connectivity.
Subsidization is already one area operators would like to avoid but they also
want to avoid competing based on price. Operators will need to think carefully
about how mobile broadband will affect their businesses as mobile broadband
devices become more widely available and achieve higher levels of consumer
awareness."