WiFi Hotspots to Cost Wireless Carriers $12B
j.e. writes "Commercial WiFi hotspots and open WiFi networks will take about $12 billion out of wireless carrier revenue pie, says Starategy Analytics. With high prices of mobile data services from wireless carriers, the users are more prone to use a cheap WiFi connection, if one is available."
This sounds like crap statistics if I've ever heard them. Cost $12 billion is a little different than "Won't make $12 billion because the services are overpriced."
That what was all this school was for... to teach us how to solve our own problems. -- janeowit
In other other news, when given a choice between otherwise highly similar products, consumers will choose to pay less money . . .
Do not touch -Willie
"With all these free radio stations people won't buy our records."
"With all these free movies on TV people won't go to the movies."
Having said that, cellphone service is nowhere near what it should be in terms of reliability and quality. How many of the main carriers allow you to do what you want with your phone (e.g. bluetooth restrictions in many phones) and your service (forward messages & voicemail via email, etc)?
Damien
Get a better business model. Or better yet, just go away. Just because people want something, doesn't mean they have to pay YOU to get it. More and more, they may not have to pay at all (open WiFi access points, Linux, etc).
Step 2 is getting laws against free WiFi accessed passed in Congress.
Hey, it worked for the RIAA!!!
That's "Mr. Soulless Automaton" to you, Bub.
Poster forgot some words, it should read:
With the artificially inflated exorbitantly high prices of mobile data services from wireless carriers, the users are more prone to use a cheap WiFi connection, if one is available.
No sympathy for wireless carriers here, now they get to suffer for their own bad pricing plans...
"Wireless carriers will not earn $12B because better options exist."
Note: you can't lose what you don't yet have.
Interesting fact: you are not entitled to a profit. If your business model sucks, or if your product is too costly, it will fail. See also: airphones. Remember them? All gone now, because using cell phones (which everyone already has) before and after the flight is good enough.
Dear Slashdot: next time you want to mess with the site, add a rich-text editor for comments.
This should be +5 insightful, not funny. It is only a matter of time before some "media friendly" senator attaches a rider to an education package that bans open WiFi access. Or more likely, a Homeland Security bill because Terroists might use open WiFi links in an attack.
Where would we be if Wheel had hid her round rock in a cave instead of showing everyone how it rolls?
Tap water costs the bottled water industry billions.
"Learning is not compulsory... neither is survival."
--Dr.W.Edwards Deming
Should read, "WiFi to save wireless users $12B", or "WiFi to get up to $12B slice of wireless pie".
Not making as much revenue as predicted is not a "cost".
I'll believe wireless carriers lose $12 billion when I see their gross revenue actually drop by $12 billion. As our massive experience with file downloads and other things has shown, many if not most of the people who use a free service either wouldn't use it if it weren't free, or are already paying for the same service from someone else anyway.
I wish wireless carriers and others would grow up and quit whining when people figure out that their products and services can be had for free.