Skip to main content

Business Case for WLAN, UMA, VoWLAN

Over the last two years, WLAN has transformed from a network of stand-alone hotspots into a supporting technology for delivering convergent solutions, clearing the way for VoWLAN. According to Pyramid Research VoWLAN mid-tier handsets will come to market this year, placing MVNOs, fixed and cable providers in a position to make a strong play for mobile voice revenues.

�A combination of factors makes the introduction of VoWLAN inevitable, notably demand for mobility emanating from fixed carriers, mobile providers� search for a cheap technology to carry IP voice bundles, and WLAN technology�s near-readiness to support voice,� says report author Svetlana Issaeva. Pyramid expects WLAN to deliver voice as early as 2006; whether in combination with other technologies, such as 3G, WiMAX or DSL, or on its own in city-wide hotspots.

For fixed and cable providers, the VoWLAN business case is clear � add mobile voice to their portfolio of services to win a share of mobile traffic and retain subscribers. For mobile operators, the case for VoWLAN is less clear.

�We believe the inevitability of VoWLAN leaves mobile carriers with little option but to beat the threat by joining in,� comments Issaeva.

Mobile operators will continue to draw revenues from the termination of calls originated on WLAN networks, increase wholesale traffic revenues from fixed-carrier MVNOs, and deploy WLAN networks at a lower cost than mobile IP networks.

Additionally, WLAN networks will enable the offloading of cheap voice to low-income segments - including students - allowing the operator to develop flat rate voice plans with lower QoS, which for all intents and purposes is the next step in the evolution of voice services pricing.

Popular posts from this blog

AI Supercycle: Server Market Growth Surge

The worldwide server market has entered a new phase defined almost entirely by artificial intelligence (AI) infrastructure economics rather than traditional enterprise refresh cycles.   The latest market data shows robust growth and a structural shift in where value is created, who captures it, and which architectures are setting the pace for the next decade. IDC reports that worldwide server revenue reached a record $112.4 billion in the third quarter of 2025, representing a striking 61 percent year-over-year increase compared to the same quarter in 2024. For context, this means the market is adding tens of billions of dollars in incremental quarterly spend, driven overwhelmingly by AI and accelerated computing requirements.  IT Server Market Development Over the first three quarters of 2025, server revenue has already reached $314.2 billion, meaning the market has nearly doubled in size compared to 2024, underscoring how AI buildouts have compressed several years of exp...