Numerous MSOs and enterprise customers are moving toward Wi-Fi networks for cost savings, as well as cellular offload, says Heavy Reading 4G/LTE Insider
Wi-Fi roaming isn't just for cellular offload anymore, multiple system operators (MSOs) and enterprise customers are also moving toward Wi-Fi networks for cost savings across the board, especially for international roaming, according to the latest report from Heavy Reading 4G/LTE Insider, a paid research service of Heavy Reading.
Carrier Wi-Fi Roaming: Old Dog, New Tricks identifies and analyzes key issues driving and inhibiting the market for carrier Wi-Fi roaming. The report is based on interviews with a representative sample of companies in the ecosystem.
"Roaming has been around almost as long as cellular, and more than once it has periodically disrupted the mobile industry, as well as rest of telecom," notes Tim Kridel, research analyst with Heavy Reading 4G/LTE Insider and author of the report. "Roaming is poised to shake up mobile and the rest of telecom again, this time with the aid of Wi-Fi."
Wi-Fi roaming isn't new, nor is the role of mobile operators in facilitating it, Kridel says. "For MSOs, building a Wi-Fi network is cheaper than building a cellular network, if only because Wi-Fi doesn't require them to spend billions on spectrum licenses," he continues. "For enterprise customers, another reason for going with a paid Wi-Fi service is financial: companies with a significant number of road warriors could contract with a Wi-Fi service as a way to avoid big cellular data bills, especially when roaming abroad."
Key findings of Carrier Wi-Fi Roaming: Old Dog, New Tricks include:
Wi-Fi is a way for mobile operators to mitigate cellular roaming challenges due to LTE fragmentation and European tariff reductions
Cable operators are key enablers because they have the locations, power and backhaul necessary for large-scale hotspots
Mobile operators can bundle Wi-Fi in ways that mitigate cannibalization of data revenue
Scratch Wireless is an example of the type of Wi-Fi mobile service that companies, such as cable operators, Facebook and Google, could offer
Despite the push to make Wi-Fi "carrier grade," it will remain a best-effort service
Aggregators are getting stricter about the quality of service (QoS) that hotspot operators provide
Small hotspot owners will enable Wi-Fi roaming in more places
