Microcell Connexions furthers mobile data market through Project Rainbow

Microcell Connexions has taken its first step in providing mobile data services to the enterprise market through an agreement with location provider PowerLoc Technologies. Under the deal, the subsidiary of Paradigm Advanced Technologies Inc will lease capacity from the Microcell Telecommunications Inc subsidiary to offer its satellite-based asset tracking and location service. The service will be the first commercial service to come out of Project Rainbow, which was launched in June. According to Alex Brisbourne, VP and GM of business development at Microcell Connections, this agreement and Project Rainbow are all about bringing mobile data services to the fore. "It’s about creating that mobile IP experience." PowerLoc is the first publicly announced customer to come out of the project and Brisbourne expects to be able to unveil details on another four or five in the near future. He hints that those deals will involve developing systems for telematics, in-vehicle entertainment, medical monitoring and drug trialing, as well as enterprise workforce type applications. Under the agreement, PowerLOC will offer its first-generation vehicle location devices, dubbed the VLD 104, to corporate clients looking for asset tracking and location services. The system will use GPS for the tracking and location and Microcell’s GPRS network will serve as the connectivity medium. Clients will also be able to access specific locations over the Internet. Data applications to provide incremental revenue While voice continues to make up the lion’s share of revenue for carriers, over the long term, applications such as mobile workforce management and telematics are expected to make up a significant share. Competition in the wireless voice business is stiff and growth can only go so far. Brisbourne explains that the primary focus of independent service provider development in Canada is concentrating on the data space, and Microcell wants to capitalize on that. He estimates that within four years, mobile data services could make up about 25 per cent of gross revenue, topping the $500-million mark. Enterprise market to drive adoption of mobile data Going after the enterprise market in North America is a natural, adds Brisbourne. Unlike what’s taking place in Europe and Asia where the uptake of mobile data is being driven the consumer infotainment market, growth in Canada and the U.S. will be driven by the enterprise application space. And the Microcell executive suggests that the type of content offered will have to be tailored. This isn’t going to be general content where it’s put on a web site, people are allowed to access it and the subscriber base is king, he says. "(This will be) specific content focused on the business and enterprise user needs, the outgrowth of the resource planning systems (and) the mobile sales force management systems." Part of the Project Rainbow will also help drive traffic to the company’s GPRS network, thus allowing Microcell to gain revenue from the leasing of capacity to other service providers. "I think we’re doing it for the right reasons," Brisbourne tells Report on Wireless. "But we’re also doing it for practical commercial reasons." As well, these potential partner companies have access to Microcell’s test bed to conduct trials with new devices and applications, and to shake down the market viability of applications and services, says Brisbourne. Since its launch earlier this year, interest in the project has been expressed by nearly 100 companies ranging in size from the Sun Microsystems and IBMs to the domain specialists like SiGEM Inc, of Ottawa. "The idea essentially being how do you make these things come to market faster as a result of everybody basically throwing darts at the same dart board together," Brisbourne explains.

Microcell Connexions furthers mobile data market through Project Rainbow

News | 10/02/2001 4:00 am EDT

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