Wireless Week
There were two important wireless announcements last week. Both might have drowned in a sea of color handset faces or the remains of iPhone hype. First to the scene was Qualcomm with the announcement of EV-DO rev. B roadmap. While this sounds cryptic, the message is really clear: next generation mobile phones will reach 9Mbps downstream transfer rate. At least twice as fast as most DSL lines we use today. This really means a lot of new multimedia applications. Mobile YouTube is the first that comes to mind, followed by on-demand music downloads. With 9Mbps speeds many existing business models will fail. The first will be metered data plans. With HSDPA at 1,8Mbps in most networks, you are already capable of reaching 3$ per second transmission rate. If that rate was to stay, you could even pay 15$ per second at 9Mbps. This model will fail. Mobile networks will be forced by competition and by regulators to settle on flat rates for both voice and data. They will earn their dollars on VASes...