SOURCE: Alexander Resources

June 28, 2005 10:30 ET

Unlicensed Mobile Access Opening Up Residential Telephone Market to Mobile Carriers

55 Million Dual Mode Subscribers Forecasted by 2010

DALLAS, TX -- (MARKET WIRE) -- June 28, 2005 -- Deployment of Unlicensed Mobile Access (UMA) technology will enable mobile phone carriers to accelerate residential telephone fixed-to-wireless substitution while increasing ARPU and decreasing churn. This convergence of Wi-Fi and cellular networks will generate an estimated $1.6 billion in new revenues for these carriers by 2010 in the U.S. alone. These are some of the key findings from a new research report: "UMA and Beyond: Mobile Operators Benefit from Wi-Fi and Cellular Convergence," now available from Alexander Resources, a leading research, consulting and education firm specializing in wireless communications.

The new report assesses the technology and market potential of UMA and other Wi-Fi and cellular convergence solutions in the residential, enterprise, and hotspot market. It includes an extensive forecast of worldwide demand and revenues for converged Wi-Fi and cellular services, and an in-depth analysis of the effect that Wi-Fi and cellular convergence will have on traffic over fixed and cellular lines.

Other key findings from the report:

--  UMA enables GSM mobile operators to offer fully converged connectivity
    using their existing core network. Subscribers will be able to seamlessly
    roam from the cellular network to a WLAN, maintaining their call as they
    move from one to the other.
    
--  Traditional landline telephone companies stand to lose revenues from
    the increased fixed-to-wireless substitution. Minimum loses for these
    companies are forecasted to reach US$399 million by 2010.
    
--  Development of UMA-enabled handsets will create the economies of scale
    needed to lower the price and improve the performance of Wi-Fi and cellular
    handsets.
    
--  VoIP service providers may find UMA services to be a new source of
    competition. Mobile carriers are expected to offer plans comparable to
    current VoIP unlimited plans and the functionality offered would be very
    similar.
    
--  Carrier revenues from phone calls in hotspots are incremental to
    residential service but by itself do not represent either an opportunity to
    generate huge new revenues. Hotspot service is also not expected to
    cannibalize existing incomes as the density of hotspots is too low to give
    wide coverage.
    

Additional information on this new report can be found at: http://www.alexanderresources.com/reports.htm or by contacting Alexander Resources at Reports@AlexanderResources.com or calling us at 972-818-8225.

About Alexander Resources

Alexander Resources is a leading provider of strategic consulting, educational services, and research reports to the wireless communications industry. Founded in 1990, the company's clients include over 200 of the world's leading manufacturers and service providers of wireless communications networks, products, and services.

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