The opinions expressed in this editorial are those of the author and do not necessarily reflect those of Decima Reports. The year 2002 is shaping up to be a good year for the Canadian wireless industry as all four national wireless operators begin offering next-generation wireless services and reaping the benefits from increased revenue. Microcell Telecommunications and Rogers Wireless Communications launched 2.5G networks last year, and Bell Mobility and Telus Mobility will soon be officially launching their own 1X networks. One of the more promising services soon to be launched will be the inter-carrier text messaging, or SMS, capabilities that was announced last November at Communications 2001 (RoW, Nov. 13/01) in Toronto. A recent Yankee Group Canada research brief indicates that there is significant interest in the marketplace for this kind of offering (see chart on page 2). According to its findings, 18 per cent of Canadians are interested in text messaging. A hot ticket in Europe and Japan, mobile operators here hope that broader wireless text messaging among Canadians will translate into higher revenue. This may also help to reduce churn of subscribers by allowing users of one network to send text messages to users on other networks. Each of these developments has the potential to drive new revenue from the existing user base, even if the offerings aren’t responsible for new demand or bolstered subscriber numbers.While last year saw some of the carriers miss targets on net subscriber additions due to a hiccup in the second quarter (RoW, Aug. 7/01), for the most part they each still added a significant number of additions. And the thirst for wireless devices doesn’t seem to be abating in Canada. Some projections have put growth in 2002 of net subscribers at around 2 million or about a 20 per cent increase over 2001 figures. There is little doubt that voice revenue will continue to dominate the balance sheets of all four national operators, but at least now they’re equipped to begin boosting data revenue with advanced network capabilities.