News grab bag: FMC, free Wi-Fi, Google Phone and our perspectives

Convergence & VoIP This newsletter is sponsored by Secure Computing Webinar: Securing up network access Learn how token-based, one-time password authentication systems can help enterprises reduce business risk, better comply with regulations, are easy to manage and most importantly keep networks secure. Tune in to this webinar. Network World's Convergence & VoIP Newsletter, 09/12/07 News grab bag: FMC, free Wi-Fi, Google Phone and our perspectives By Steve Taylor and Larry Hettick Today, we’d like to highlight a few announcements and developments in the news that affect convergence. The first report comes from the United Nations International Telecommunications Union (ITU) which estimates that global phone service has quadrupled over the past decade to four billion lines, which includes 1.27 billion fixed lines and 2.68 billion mobile subscribers; some 61% of mobile customers live in “developing countries.” Our analysis: While fixed mobile convergence move along at a snail’s pace, perhaps the popularity of mobile access will help carriers pick up the pace of deployments. And for those who thought that telecom was a dying industry, to paraphrase the saying, the reports of telecom’s demise “may have been greatly exaggerated.” Second, on metro Wi-Fi and WiMAX deployments moving slowly. Some cities like Chicago have delayed or abandoned their plans to partner with companies like EarthLink to offer free wireless broadband access across the metro-area for all local citizens because the expense is much greater than expected, subscriber counts are lower than projected, and the model of using ad revenues and a few paid subscribers to subsidize the difference doesn’t seem to be working well. Our analysis harkens back to the demise of “free” (dial-up) Internet access models from about 10 years ago and can be summarized by the song lyrics “When will they ever learn?” Third, on reports that Google might be working on a “Google Phone” and that it is in the running for the upcoming FCC auction of wireless spectrum. Our analysis: While Google has been the world’s best at generating revenues to compensate, the idea of a Google (maybe free) mobile phone seems to fly in the face of the popular $600 iPhone, and we remain unconvinced about the prospects of a successful business model based on this approach. Second, we’ve suggested that especially in the face of regulation or legislation against Google on ‘Net neutrality, Google is smart to keep its access options open; just the threat of using wireless access to bypass companies like AT&T or Verizon’s wireline broadband Internet access may contribute to a competitive environment. But (see second note above): we’re not sure there’s any such thing as a free lunch. Network World Buyer's Guides Find the right products for your enterprise - fast. With seven categories - security, storage, convergence and VoIP, network infrastructure, network applications, wireless and LAN/WAN management - you can quickly pinpoint the hardware or software you need. With the side-by-side comparison tool you can evaluate product features and make the best purchase decisions for your enterprise. Click here to go to the Buyer's Guides now. Next time: an interview with Sir Terry Mathews.   What do you think? Post a comment on this newsletter

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Contact the author: Steve Taylor is president of Distributed Networking Associates and publisher/editor-in-chief of Webtorials. For more detailed information on most of the topics discussed in this newsletter, connect to Webtorials, the premier site for Web-based educational presentations, white papers, and market research. Taylor can be reached at taylor@webtorials.com Larry Hettick is an industry veteran with more than 20 years of experience in voice and data. He is Vice President for Telecom Services and Infrastructure at Current Analysis, the leading competitive response solutions company. He can be reached at lhettick@currentanalysis.com This newsletter is sponsored by Secure Computing Webinar: Securing up network access Learn how token-based, one-time password authentication systems can help enterprises reduce business risk, better comply with regulations, are easy to manage and most importantly keep networks secure. Tune in to this webinar. ARCHIVE Archive of the Convergence & VoIP Newsletter. BONUS FEATURE IT PRODUCT RESEARCH AT YOUR FINGERTIPS Get detailed information on thousands of products, conduct side-by-side comparisons and read product test and review results with Network World’s IT Buyer’s Guides. Find the best solution faster than ever with over 100 distinct categories across the security, storage, management, wireless, infrastructure and convergence markets. Click here for details. PRINT SUBSCRIPTIONS AVAILABLE You've got the technology snapshot of your choice delivered to your inbox each day. Extend your knowledge with a print subscription to the Network World newsweekly, Apply here today. International subscribers, click here. SUBSCRIPTION SERVICES To subscribe or unsubscribe to any Network World newsletter, change your e-mail address or contact us, click here. This message was sent to: networking.world@gmail.com. Please use this address when modifying your subscription. Advertising information: Write to Associate Publisher Online Susan Cardoza Network World, Inc., 118 Turnpike Road, Southborough, MA 01772 Copyright Network World, Inc., 2007