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#TBT: Wi-Fi on the rise; US wireless rakes in $1B; Customer confusion is costly … this week in 2004

Editor’s Note: RCR Wireless News goes all in for “Throwback Thursdays,” tapping into our archives to resuscitate the top headlines from the past. Fire up the time machine, put on the sepia-tinted shades, set the date for #TBT and enjoy the memories!

Wi-Fi on the rise

OYSTER BAY, N.Y.-ABI Research said the Wi-Fi market is benefiting from several forces, including a better economy, handheld devices aimed at niche markets and a variety of new Wi-Fi-ready phones. The firm raised its forecast for wireless handset shipments based on a more bullish economy. In addition, new wireless devices aimed at niche markets, including some that don’t include voice capabilities, are beginning to hit the market. ABI offered Cingular’s OGO device and Nokia’s N-Gage offering as examples. Finally, the number of available Wi-Fi-ready phones is about to increase rapidly, according to ABI. … Read more

U.S. wireless industry is worth $100 billion in revenues

WASHINGTON-The wireless industry is a $100 billion business. The U.S. Census Bureau today said revenues for cellular and other wireless telecom firms rose to $104 billion in 2003 from $92 billion the previous year, an increase of 14 percent. The government report, “2003 Service Annual Survey: Information Services, Broadcasting and Telecommunications” shows revenues for the nation’s broadcasting and telecommunications information firms increased 2 percent to $490 billion in 2003 from $482 billion in 2002. Other highlights had revenues for wired telecommunications carriers down 6 percent, to $223 billion, with fixed long-distance revenues falling 13 percent, to $53 billion. Wireless telecom services increasingly are cutting into local landline telephone and long-distance market shares. … Read more

WSJ gets into mobile content

NEW YORK-The Wall Street Journal will provide content for a new business and financial news service for wireless handsets, the company announced Tuesday. The Wall Street Journal Mobile will provide market, stock and commodities data, as well as personalized portfolio information and general business news to users on most major U.S. carriers beginning early next year. The application, which was created by mobile developer Summus, will cost $4 a month and will be billed by the carrier. “Offering Journal news and information is a natural point of entry into this high-demand market,” said Gary Ban, Summus’ chief executive officer. … Read more

Nokia’s Pocket Kingdom

ESPOO, Finland-Nokia Corp. expanded the offerings for its N-Gage device with the launch of a new multiplayer title. According to the handset manufacturer, “Pocket Kingdom: Own the World” is the first “massively multiplayer online game” for the platform, featuring a fantasy landscape where players attempt to build empires while competing against other gamers. The game can support thousands of players, and includes a “news channel” that reports real-time developments from the gaming realm. … Read more

Rumors of a Nokia Neo

HELSINKI, Finland-Nokia Corp. appears to be readying a new iPod-style device designed to play digital music, according to detailed documents posted on the Internet. According to a post on Mobile Gadgets, Nokia is readying a device dubbed the Neo, which features a wheel-style input button like Apple Corp.’s popular iPod digital music player. Nokia’s previously released 7280 also features a wheel-style input button. According to the Internet site, the phone features 7 MB of internal memory, support for an SD/MMC memory card and an integrated digital camera. Such features do not put the device in direct competition with Apple’s iPod, which features gigabytes of internal storage. … Read more

Customer confusion is costly

Customer confusion over wireless rate plans and services is costing wireless operators $3 billion per year due to increasing customer churn and harmed brand relationships, according to a consumer survey from brand strategy company Siegel & Gale. The survey, which was part of the company’s latest Perplexity Poll, found that major wireless companies’ communications generate confusion, lack of clarity and simplicity, and test poorly for comprehensibility. “Wireless companies waste billions of dollars as a result of confusing communications and marketing practices,” said Alan Siegel, chairman of Siegel & Gale. “There is a huge `clarity opportunity’ for a wireless company to gain significant market share by providing clear and simple information about their calling plans, billing, pricing and services.” The survey included 1,050 respondents ages 18 and over and asked them to respond to questions after reviewing images and calling brochures from Cingular Wireless L.L.C., Verizon Wireless, Sprint PCS and T-Mobile USA Inc. The survey found that roughly one-fourth of wireless customers rated the information produced by carriers “below average” or “poor” for being easy to read and understand. The survey noted that 25 percent of respondents who changed wireless plans this year cited confusion over calling plans, bills and services as their primary reason for switching. … Read more

Check out the RCR Wireless News Archives for more stories from the past.

ABOUT AUTHOR

Kelly Hill
Kelly Hill
Kelly reports on network test and measurement, as well as the use of big data and analytics. She first covered the wireless industry for RCR Wireless News in 2005, focusing on carriers and mobile virtual network operators, then took a few years’ hiatus and returned to RCR Wireless News to write about heterogeneous networks and network infrastructure. Kelly is an Ohio native with a masters degree in journalism from the University of California, Berkeley, where she focused on science writing and multimedia. She has written for the San Francisco Chronicle, The Oregonian and The Canton Repository. Follow her on Twitter: @khillrcr