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Carrier Wi-Fi: Monetization Models and the Future of Wi-Fi in the Context of 5G

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Carrier Wi-Fi: Monetization Models and the Future of Wi-Fi in the Context of 5G

Summary

"Carrier Wi-Fi: Monetization Models and the Future of Wi-Fi in the Context of 5G", a thematic research report by GlobalData, provides an analysis of the business models available to different operators to benefit from and monetize Wi-Fi networks. It includes data and insights on the Wi-Fi technology status and trends with respect to the growth in installed base of Wi-Fi hotspots, homespots and devices and traffic worldwide. The report outlines the future evolution of the technology as mobile networks migrate to 5G. Built on real-world examples, the report examines the five key business models for Wi-Fi, their fit by operator type and the critical considerations and strategic options for operators and vendors.

The installed base of Wi-Fi enabled devices continues to grow, driven in large part by the growth of smartphones. The technology has developed to better support operators and opened the door to multiple business models, enabling lower costs, new revenue streams and improved services.

The report is structured as follows -
- Section 1: Market Context. This section provides data and insights on the Wi-Fi technology and outlines the future of the technology.
- Section 2: Business models. This section provides an assessment of business models built around Wi-Fi worldwide, and examines these business models from the perspective of their fit for different operator types taking into account operator portfolio breadth.
- Section 3: Key findings and recommendations. We conclude the report with a set of key findings and critical considerations and recommendations on Wi-Fi network evolution and business models.

Scope

Key findings of the report include -
- Standardization, performance improvements and operator support continue to drive Wi-Fi adoption. Homespots and low cost hotspot deployment have increased the total number Wi-Fi areas (hotspots + homespots) from less than 30 million in 2013 to 85 million in 2016, with expectations of 113 million for 2018.
- Wi-Fi supports multiple business models for operators. There are five broad Wi-Fi business models available to network operators which can and should be used in combination (they are not mutually exclusive), though not all are relevant to all operator types. Integrated (fixed-mobile) and fixed-MVNO operators can benefit from all the different business models available while mobile first operators are more limited.
- The investment and operational costs of Wi-Fi must be kept low because the revenue upside is limited. There are multiple partnership opportunities which can help to keep costs down including joint ventures, roaming, wholesale, OTT providers, Wi-Fi specialists, venue owners, advertisers, payment providers etc.
- Wi-Fi network revenue upside must be maximized and thus sold across the organization from the consumer and business facing departments to advertising/media and wholesale divisions.
- Wi-Fi helps networks evolve by accelerating migration to 4G, freeing up spectrum for refarming and can form part of future heterogeneous networks and 5G. Wi-Fi or not, unlicensed spectrum will form part of future LTE and 5G networks.

Reasons to buy

- The report provides a comprehensive examination of operator business models in the global market to help executives fully understand market dynamics, determine what works and what doesnt, formulate effective product development plans and optimize resource allocation and return on investments.
- Each business model is analyzed to highlight notable approaches as well as how different types of operators, whether fixed only, fixed-mobile or mobile only are leveraging the technology to suit their particular context.
- The report highlights innovative and progressive approaches from operators around the world, including both developed and developing regions.
- The report discusses concrete opportunities for Wi-Fi, providing a number of actionable recommendations for operators and vendors.
- The report provides multiple insights into Wi-Fi including the current status, standards development, traffic growth, factors impacting use, network cost minimization approaches and technology evolution.
Table of Contents
Table of contents 3
List of exhibits 5
Executive Summary 6
Section 1: Market context 8
Definition of Wi-Fi 9
Status of Wi-Fi 10
Operators and Wi-Fi 11
Wi-Fi traffic growth 12
Wi-Fi vs cellular data 13
Wi-Fi monetization 14
Wi-Fi network options 15
Evolution of Wi-Fi 17
Wi-Fi and 5G 18
Section 2: Business model analysis 19
Wi-Fi business models by operator type 20
Monetizing Wi-Fi 21
Direct or sponsored monetization 22
Managed & wholesale monetization 23
Subscriber retention 24
Increasing spend with Wi-Fi 25
Voice-over-Wi-Fi 26
Mobile data offload 28
Future of Wi-Fi 30
Wi-Fi and 5G 31
Key Findings and Recommendations 32
Appendix 35
Acronyms and definitions 36
Companies mentioned 37
About the authors 38
Related research 39
About GlobalData 40
Contact information 41

List Of Tables


Exhibit 1: Wi-Fi standards 9
Exhibit 2: Installed base of Wi-Fi devices, 2014 and 2016 10
Exhibit 3: Global installed base of hotspots & homespots, 2013-2018 11
Exhibit 4: Global IP traffic by access technology, 2015-2020 12
Exhibit 5: Portion of time spent on Wi-Fi by smartphone users by country, August 2016 13
Exhibit 6: Boingo revenue breakout, Q3 2011 & Q3 2017 14
Exhibit 7: Hotspot & homespot network of operator case studies 15
Exhibit 8: Comcast Wi-Fi hotspot network 2014-2017 16
Exhibit 9: Alternative ways to use unlicensed spectrum 17
Exhibit 10: Wi-Fi and 5G 18
Exhibit 11: Business model fit by operator type 20
Exhibit 12: Operator options for Wi-Fi monetization 21
Exhibit 13: Alwayson alternative payments 22
Exhibit 14: Wi-Fi advertising 22
Exhibit 15: Virgin Media Wi-Fi for retail 23
Exhibit 16: Covering key areas 23
Exhibit 17: KPN fixed-mobile convergence benefits 24
Exhibit 18: Vodafone (ES) churn, Q1 2017 24
Exhibit 19: Proximus Smart Wi-Fi 25
Exhibit 20: EE & Mobifone VoWiFi 26
Exhibit 21: VoLTE & VoWiFi 27
Exhibit 22: Mobile data growth by access technology, 2016 and 2020 28
Exhibit 23: Alwayson airtime to Wi-Fi data conversion 29
Exhibit 24: LTE and unlicensed 5Ghz 30
Exhibit 25: WI-FI and 5G multi-connectivity network 31

List Of Figures


Exhibit 1: Wi-Fi standards 9
Exhibit 2: Installed base of Wi-Fi devices, 2014 and 2016 10
Exhibit 3: Global installed base of hotspots & homespots, 2013-2018 11
Exhibit 4: Global IP traffic by access technology, 2015-2020 12
Exhibit 5: Portion of time spent on Wi-Fi by smartphone users by country, August 2016 13
Exhibit 6: Boingo revenue breakout, Q3 2011 & Q3 2017 14
Exhibit 7: Hotspot & homespot network of operator case studies 15
Exhibit 8: Comcast Wi-Fi hotspot network 2014-2017 16
Exhibit 9: Alternative ways to use unlicensed spectrum 17
Exhibit 10: Wi-Fi and 5G 18
Exhibit 11: Business model fit by operator type 20
Exhibit 12: Operator options for Wi-Fi monetization 21
Exhibit 13: Alwayson alternative payments 22
Exhibit 14: Wi-Fi advertising 22
Exhibit 15: Virgin Media Wi-Fi for retail 23
Exhibit 16: Covering key areas 23
Exhibit 17: KPN fixed-mobile convergence benefits 24
Exhibit 18: Vodafone (ES) churn, Q1 2017 24
Exhibit 19: Proximus Smart Wi-Fi 25
Exhibit 20: EE & Mobifone VoWiFi 26
Exhibit 21: VoLTE & VoWiFi 27
Exhibit 22: Mobile data growth by access technology, 2016 and 2020 28
Exhibit 23: Alwayson airtime to Wi-Fi data conversion 29
Exhibit 24: LTE and unlicensed 5Ghz 30
Exhibit 25: WI-FI and 5G multi-connectivity network 31

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Reports Details

Published Date : Dec 2017
No. of Pages :41
Country :Global
Category :Technology
Publisher :GlobalData
Report Delivery By :Email
Report Delivery Time :12 to 24 hours after placing the order.

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