Wireless industry set for “silent revolution”

The wireless infrastructure is in place and penetration levels have hit the point where consumers are now comfortable using wireless devices. What’s next? Dennis Strigl, president and CEO of Verizon Wireless (the new company formed following the merger of Bell Atlantic and GTE), shared his view of the not-so-distant future at the COMNET Expo conference in Washington last month. An edited excerpt of his presentation appears below. To read his full presentation, click here. It is not a stretch to say that the wireless phone is on a fast track to becoming the centerpiece of communication, information and services — anytime, anywhere. This is being driven by great growth and wireless data. Wireless data has four things going for it that it didn’t have two years – or even one year – ago. One is the wireless penetration rate. At 40 per cent, there’s now critical mass that’s comfortable with wireless itself – for work and for play. Add to that the "E" penetration rate. A significant part of the population is now comfortable with email and even full Internet access. And we now have the wireless network infrastructure to support wireless data and higher data rates. In fact, my company is already trialing 144-kbs service, which we plan to offer later this year. And the next evolution – speeds of 2.4 megabits-per-second – is coming rapidly. Now, how about the deliverables? My first observation is: Let’s not speculate with our spectrum. We need policy for radio frequency spectrum that leaves nothing to chance. No surprise to anyone that the intelligent wireless network is the foundation for delivering quality, speed, innovation and maximum value to customers. The raw material – the lifeblood – for this network is spectrum. We need to ensure that the precious spectrum we have reaches its potential through a comprehensive and forward looking policy, so that regulators identify and dedicate additional spectrum for advanced wireless services. And equally important, marketplace forces of fair and open competition should be the sole basis for awarding spectrum – not artificial controls like caps on spectrum the amount of spectrum a company could hold in a geographic market – or special allowances for "designated entrepreneurial entities." As part of the value equation for the customer, we need compelling wireless appliances and applications to achieve the ultimate value proposition of the wireless Internet. I think we’ll soon see non-traditional handsets – a PDA device with voice capability. The wireless industry also needs things like standards-based mobile IP that makes the customer experience transparent and reliable everywhere. If it doesn’t work when you get off the plane – or if it doesn’t work the same way as when you got on the plane – it will be seen as far less than its promise. Mobility is the intrinsic value of the product we offer. As other businesses see the value-add in relation to their own product – it will drive new product paradigms. Location services, and telemetry are perfect examples. Location services will push information to you, based on your interests and your geography at the time. A local restaurant, for example, could deliver short messages to customers within a certain radius promoting a dinner special when they have empty tables. Telematics is a brand new area – integrating on-board computing, communicating and navigation systems. Let’s not overlook the value of telematics. In fact, it could well be the killer app, when you consider the millions of drivers captive in their cars each day. The E-Wallet: Retailers will drive this one. You’re in a department store, or a supermarket, and they prefer you pay not in cash, but with your wireless phone. Then there’s the voice portal, which is speech navigation for wireless services. In its simplest form, a voice portal is voice activated-dialing, and evolves to more sophisticated forms like voice-mail navigation, voice-interfacing with email and faxes, and voice access to customized information. With these trends – plus what I call the "silent revolution" of voice migration to wireless networks from landline that is already underway for 2nd and 3rd lines – the day is coming when wireless will no longer be thought of as a separate and distinct form of communicating.

Wireless industry set for “silent revolution”

News | March 19, 2001

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