Parks Associates Blog

Thursday, November 06, 2008

Parks Associates finds mobile broadband operators face challenges in managing traffic and user control

Refined business models will control network use and yield more revenue --

The tremendous growth of mobile broadband usage, with annual growth rates of 200% in parts of North America and upwards of 800% in parts of Europe, will create future challenges for service providers if not properly managed.

A new custom study from Parks Associates, Mobile Broadband in North America and Europe: Change is Key to Continuing Profitability, found that many carriers rely on outdated business models, excessive pricing or flat-rate billing, to manage traffic. Excessive pricing slows growth and invites cutthroat competition. Flat-rate carriers charge a single rate for unlimited service, which does not effectively monetize traffic. Both models are unsustainable given current growth trends.

The custom study, conducted by Parks Associates on behalf of Camiant, a global provider of policy control for the wireless, fixed, and cable industries, included interviews with executives at major mobile broadband providers in Canada, Europe, and the U.S. The study determined adoption and usage of mobile broadband and carriers’ capabilities with respect to network and user control.

Denissov and Camiant’s VP of Business Development Randy Fuller will present the study findings during a free webcast on Wednesday, November 12, at 12 p.m. ET.

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