WiFi-First - The New Market Disrupter
The WiFi-first concept emerged in 2014. It uses Wifi in conjunction with cellular connections. Wifi has always been considered as disruptive by the cellular industry because it is a low-cost solution to provide nomadic access. Despite remaining technological hurdles, Wifi has gained traction for many players willing to eat into MNOs' revenues by jumping into the cellular-nomadic business. This report presents the state-of-the art on WiFi-first and highlights strategies at play in a business that unites companies from three distinct worlds: Mobile - Fixed - OTT
International expansion is on-going or planned by WiFi-first players. Europe and Asia are the main target locations.
In Europe, the MVNO FreedomPop, which mimics the WiFi-first model, announced plans with KPN in Belgium as a test-bed in 2014. One year later, FreedomPop has reported that it has five host-MNOs in five different countries and it plans to enter a large European market.
WiFi-first service seems less suited to the European market than to the US market.
International expansion is on-going or planned by WiFi-first players. Europe and Asia are the main target locations.
In Europe, the MVNO FreedomPop, which mimics the WiFi-first model, announced plans with KPN in Belgium as a test-bed in 2014. One year later, FreedomPop has reported that it has five host-MNOs in five different countries and it plans to enter a large European market.
WiFi-first service seems less suited to the European market than to the US market.
1. EXECUTIVE SUMMARY
1.1. Understanding Wifi and WiFi-first
1.1.1. Beyond throughputs: integration features
1.1.2. The technical challenges around WiFi-first strategy
1.2. Wifi market and player strategies
1.2.1. The status of Wifi and its market
1.2.2. Wifi players strategies
1.3. Impacts of WiFi-first on the cellular business
1.3.1. Small WiFi-first companies in a growing US market
1.3.2. Initiatives by large cablecos and OTT companies could potentially make a dent
1.3.3. Mobile ARPU decline in the USA is not due to WiFi-first
1.3.4. Challenges remain
1.3.5. First plans outside the USA
1.3.6. MNOs ready to counter-attack WiFi-based services
2. METHODOLOGY & DEFINITIONS
2.1. General methodology of IDATE's reports
2.2. Definitions
3. UNDERSTANDING WIFI AND WIFI-FIRST
3.1. Evolution of Wifi standards
3.1.1. 802.11a and 802.11b
3.1.2. 802.11g
3.1.3. 802.11n
3.1.4. 802.11ac
3.1.5. What happens next?
3.2. Beyond throughputs: integration features
3.2.1. Seamless authentication and connection
3.2.2. Toward increased collaboration with cellular networks
3.2.3. Provision of cellular/legacy services over Wifi
3.3. Technical challenges
4. WIFI MARKET AND PLAYER STRATEGIES
4.1. The status of Wifi and its market
4.1.1. Wifi status
4.1.2. Wifi market
4.2. Wifi player strategies
4.2.1. WiFi-first players
4.2.2. Pure Wifi players
4.2.3. Cablecos (Multi-System Operators or MSOs)
4.2.4. OTTs (Over-The-Top)
4.2.5. Mobile Network Operators (MNOs) and integrated players
5. HOW WIFI-FIRST IMPACTS THE CELLULAR BUSINESS
5.1. WiFi-first companies still small players in a growing US market
5.2. Decline of mobile ARPU in USA is not due to WiFi-first service
5.3. Challenges to overtake
5.4. First plans outside the USA
5.5. MNOs are ready to counter-attack WiFi-based services
6. GLOSSARY
1.1. Understanding Wifi and WiFi-first
1.1.1. Beyond throughputs: integration features
1.1.2. The technical challenges around WiFi-first strategy
1.2. Wifi market and player strategies
1.2.1. The status of Wifi and its market
1.2.2. Wifi players strategies
1.3. Impacts of WiFi-first on the cellular business
1.3.1. Small WiFi-first companies in a growing US market
1.3.2. Initiatives by large cablecos and OTT companies could potentially make a dent
1.3.3. Mobile ARPU decline in the USA is not due to WiFi-first
1.3.4. Challenges remain
1.3.5. First plans outside the USA
1.3.6. MNOs ready to counter-attack WiFi-based services
2. METHODOLOGY & DEFINITIONS
2.1. General methodology of IDATE's reports
2.2. Definitions
3. UNDERSTANDING WIFI AND WIFI-FIRST
3.1. Evolution of Wifi standards
3.1.1. 802.11a and 802.11b
3.1.2. 802.11g
3.1.3. 802.11n
3.1.4. 802.11ac
3.1.5. What happens next?
3.2. Beyond throughputs: integration features
3.2.1. Seamless authentication and connection
3.2.2. Toward increased collaboration with cellular networks
3.2.3. Provision of cellular/legacy services over Wifi
3.3. Technical challenges
4. WIFI MARKET AND PLAYER STRATEGIES
4.1. The status of Wifi and its market
4.1.1. Wifi status
4.1.2. Wifi market
4.2. Wifi player strategies
4.2.1. WiFi-first players
4.2.2. Pure Wifi players
4.2.3. Cablecos (Multi-System Operators or MSOs)
4.2.4. OTTs (Over-The-Top)
4.2.5. Mobile Network Operators (MNOs) and integrated players
5. HOW WIFI-FIRST IMPACTS THE CELLULAR BUSINESS
5.1. WiFi-first companies still small players in a growing US market
5.2. Decline of mobile ARPU in USA is not due to WiFi-first service
5.3. Challenges to overtake
5.4. First plans outside the USA
5.5. MNOs are ready to counter-attack WiFi-based services
6. GLOSSARY
TABLES & FIGURES
Table 1: Wifi generations
Table 2: Wifi and mobile network characteristics
Table 3: Wifi generations
Table 4: Relation between channel width and spatial streams with 802.11ac
Table 5: Scratch Wireless cellular passes
Table 7: OTT communication services provided by OTTs
Table 6: FreedomPop price plans
Table 8: VoLTE launches by MNOs
Table 10: Examples of Wifi access plans in the UK and France
Table 11: Wifi-calling launches by MNOs
Figure 1: The battle for ‘free’ communication services
Figure 2: Player strategies
Figure 3: Lowest market potential for WiFi-first in Europe compared to the USA
Figure 4: Wifi evolution path
Figure 5: Wifi roaming standards and trials
Figure 6: Passpoint – seamless 3G/4G/Wifi roaming
Figure 7: Hotspot 2.0 Release 2 components
Figure 8: Phases of development of Hotspot 2.0
Figure 9: NGH deployments as of Q1 2015
Figure 10: World&You brings unlimited calling and messaging abroad to Bouygues customers
Figure 11: Evolution of Wifi calling
Figure 12: Installed base of carrier-grade hotspots by region to 2018
Figure 13: Player strategies
Figure 14: FON telco deals and users
Figure 15: Examples of major OTT initiatives
Figure 16: Evolution of market shares of four largest US MNOs (2012-2014)
Figure 17: Major changes to pricing of postpaid service plans (2013-2014)
Figure 18: Lowest market potential for WiFi-first in Europe compared to the USA
Figure 19: LTE in the 5 GHz band
Table 1: Wifi generations
Table 2: Wifi and mobile network characteristics
Table 3: Wifi generations
Table 4: Relation between channel width and spatial streams with 802.11ac
Table 5: Scratch Wireless cellular passes
Table 7: OTT communication services provided by OTTs
Table 6: FreedomPop price plans
Table 8: VoLTE launches by MNOs
Table 10: Examples of Wifi access plans in the UK and France
Table 11: Wifi-calling launches by MNOs
Figure 1: The battle for ‘free’ communication services
Figure 2: Player strategies
Figure 3: Lowest market potential for WiFi-first in Europe compared to the USA
Figure 4: Wifi evolution path
Figure 5: Wifi roaming standards and trials
Figure 6: Passpoint – seamless 3G/4G/Wifi roaming
Figure 7: Hotspot 2.0 Release 2 components
Figure 8: Phases of development of Hotspot 2.0
Figure 9: NGH deployments as of Q1 2015
Figure 10: World&You brings unlimited calling and messaging abroad to Bouygues customers
Figure 11: Evolution of Wifi calling
Figure 12: Installed base of carrier-grade hotspots by region to 2018
Figure 13: Player strategies
Figure 14: FON telco deals and users
Figure 15: Examples of major OTT initiatives
Figure 16: Evolution of market shares of four largest US MNOs (2012-2014)
Figure 17: Major changes to pricing of postpaid service plans (2013-2014)
Figure 18: Lowest market potential for WiFi-first in Europe compared to the USA
Figure 19: LTE in the 5 GHz band
