World Voice over Wireless LAN Markets

SUMMARY

Increased Acceptance of Voice over Wireless LANs Dependent upon the Sanctioning of 802.11 Standards

Guaranteeing low latency and heightened security has been a major challenge for voice over wireless LAN (VoWLAN) vendors. Additionally, customers are demanding seamless roaming between networks to prevent the incidence of dropped calls. Vendors are hoping that the 802.11 wireless standards that ensure quality of service, security, and fast roaming will address the technical limitations of VoWLAN and increase customer confidence. While the 802.11i standard for security issues is already in place, others are still awaiting authorization compelling some vendors to develop their own proprietary solutions to work around the delay. Since VoWLAN is already generating interest among customers with its ability to provide flexibility, higher throughput, and substantially lower operating costs, the approval of the 802.11 standards is likely to propel its growth into the future.

This Frost & Sullivan research outlines the key growth challenges, drivers and restraints in the VoWLAN market, and the strategies followed by vendors to combat these challenges. It also identifies the market segments that vendors should target in the enterprise and consumer space.

VoWLAN Popularity in Niche Markets Widening its Reach into Other Sectors

VoWLAN has shown a surge in popularity in select verticals such as healthcare, hospitality, retail, education, and warehousing where mobility of employees is vital in order to maintain high productivity levels. "The success achieved by these early adopters has prompted companies from other sectors to take a good look at how VoWLAN can change the way they do business and enhance profitability," says the analyst.

In the retail industry, the deployment of VoWLAN has shown a marked reduction in equipment costs and wireless phone service charges. It is also likely to enhance customer service as a result of streamlined communications. In hospitals, VoWLAN vendors have successfully leveraged the existing WLAN network to support instant mobile voice communications and messaging. The potential benefits in this vertical also include time savings, faster communication, improved workflow, and ultimately quality patient care.

Immense Growth Potential in the VoWLAN Client Device Market

Phenomenal growth is expected in the VoWLAN client device segment with the emergence of dual-mode cellular/VoWLAN handsets that provide a cost-effective calling option for cellular users. Apart from handset, soft-phone, and communication badge makers, the mobile carriers have also moved in to demonstrate their increasing interest in this lucrative market. "Despite initial resistance, traditional mobile carriers are likely to see dual-mode cellular/VoWLAN handsets as a means to differentiate their offerings through decreased calling costs and elimination of long-distance charges," explains the analyst.

In addition to the reduced calling costs, the dual-mode cellular/VoWLAN handsets signify overlapping of customers with the VoWLAN vendors which is likely to result in a significant loss in revenue for traditional carriers. Strategic alliances between the vendors and carriers are expected to play a key role in reducing customer churn and retaining profitability on both sides.

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Benefits of this Service

Competitive Analysis Assists in Formulating Effective Market Entry Strategies

This research service provides an overview of the competitive structure in the voice over wireless LAN (VoWLAN) market for the benefit of potential entrants. Analysis of major vendors in various product and end-user groups enable new entrants to gauge the competitive levels and make informed decisions regarding the target market presenting the most lucrative opportunities. The pricing analysis offers forecasts on future prices for VoWLAN handsets, thereby enabling participants to set production goals to meet their revenue targets.

Technology Trends in VoIP and Wi-Fi Highlight Emerging Growth Opportunities

The VoWLAN market is finally ready to take off despite initial technical hurdles. This analysis identifies the key technological developments in voice over Internet protocol (VoIP) and wireless fidelity (Wi-Fi) segments that have enabled WLAN infrastructure vendors, handset and 'softphone' makers, and service providers to explore new opportunities in the VoWLAN market.

Demand Analysis Identifies In-Demand Features in the Consumer and Enterprise Sectors

It is important for vendors to understand the needs of the customer and design products customized for the market segments they intend to target. This is likely to help them position their products advantageously in the market. This research service identifies the key features that enterprises and consumers consider in their decision to deploy VoWLAN, enabling participants to market the right product to the appropriate end-user segment.

Analysis of Current Business Trends in the VoWLAN Market Offers a Clearer Picture of Future Prospects

This research service analyzes the impact and opportunities the various business partnerships can create in the VoWLAN market. These business trends are the basis for the distribution strategies expected to be adopted by the vendors in this market.

Analysis of Challenges and Drivers in the VoWLAN Market Assist in Making the Right Purchase Decision

Customers need to be fully aware of the pros and cons of deploying VoWLAN in their workplace. This analysis guides them through all the factors they need to keep in mind before investing in this technology. They can evaluate the various choices available prior to making the final decision on deploying VoWLANs.

Market Sectors

Expert Frost & Sullivan analysts thoroughly examine the following market sectors in this research:

• Pure VoWLAN Handsets
• Dual Mode VoWLAN/ Cellular Handsets
• Communication Badges
• Softphone Clients

Technologies

The following technology is covered in this research:

• Voice over Wireless LAN (VoWLAN): This implies the usage of voice applications by enterprises and consumers over a wireless LAN network.

TABLE OF CONTENTS

1 EXECUTIVE SUMMARY

• Market Overview
  • Introduction to the World Voice over Wireless LAN Market
  • Summary of Major Findings
• Key Findings
  • Competitive Analysis
  • Technology Issues
  • Conclusions

2 MARKET ENGINEERING RESEARCH FOR THE TOTAL WORLD VOICE OVER WIRELESS LAN MARKET

• Total Market Analysis
  • Introduction
• Market Forecasts
  • Market Engineering Research
  • Market Challenges for the Total World Voice over Wireless LAN Solutions Market
  • Market Drivers for the Total World Voice over Wireless LAN Solutions Market
  • Market Restraints for the Total World Voice over Wireless LAN Solutions Market
  • Demand Analysis
  • Distribution Channel Analysis
  • Market Forecasts for the Total Voice over Wi-Fi Client Device Market
  • Trends by Geographic Region
  • Technology Trends in the Wi-Fi Space
  • Technology Trends in the Voice over Wi-Fi Space
  • Business Trends
• Competitive Analysis
  • Pricing Strategy and Trend Analysis
  • Competitive Structure
• Strategic Analysis and Forecasts of the Wi-Fi Handset Market
  • Market Forecasts
  • Market Share Analysis
• Strategic Analysis and Forecasts of the Softphone Client Market
  • Market Forecasts
  • Market Share Analysis

3 FROST & SULLIVAN'S 2004 VOWLAN AWARDS AWARDS

• Frost & Sullivan's 2004 Voice over Wireless LANs Solutions Awards
  • Frost & Sullivan 2004 VoWLAN Awards
  • 2004 VoWLAN Market Leadership Award - Pure Voice over Wi-Fi Handset Market
  • 2004 VoWLAN Technology Innovation Award
  • 2004 VoWLAN Brand Awareness Development Award