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NEWS
Issue #2001 - 10 (Mar. 2001)

(Updated on Mar. 7, 2001)

MARKET OUTLOOK

Survey: Wireless Users’ Concerns

For wireless device and service investors and entrepreneurs looking to expand their current product line, the research firm Accenture, formally Andersen Consulting, in its latest survey advises of some of the shortcomings of the Wireless Web.

The five-country study in which over 3,000 individuals in the U.K., Finland, Germany and Japan were interviewed stressed that consumers and vendors do not see the same limitations of the wireless web.

Overview of the Limitations

  • Use of the Wireless Web: While use of the wireless Web was the highest in Japan and the lowest in Finland and the U.S., all users, regardless of region, viewed the wired PC connection as the most viable option for accessing the Web.
  • Device: The vast majority of those surveyed not using the wireless Web, because they found the small screen too difficult to read and the services too slow.
  • Security: Where vendors are seeking new technologies to make wireless transactions more secure, consumers are less concerned. "Clearly, privacy is not a major impediment to development of the mobile Internet, said John Beck, an associate partner with Accenture’s Institute of Strategic Change.
  • Only 25 percent of Americans and Japanese respondents were concerned about security issues.
  • Europeans were even less concerned at 13 percent.
  • M-Commerce: Less than one percent of those surveyed have made an on-line purchase via their wireless device. The regional differences are as follows:
  • In U.S., 12 percent
  • In Germany, 9 percent
  • In Japan, 7 percent
  • In U.K., 6 percent
  • In Finland, 5 percent

"We believe that the secret formula for driving wireless adoption, and in turn m-commerce, is creating killer applications that allow users to get the information they want, anytime, and anywhere. This study tells us that millions of users around the world are ready to make the leap to the next era of Internet communications and commerce, " said Richard Siber, partner, Communications and High Tech, Accenture.

For more information: www.accenture.com/xd/

Mobileinfo Comments and Advisory: Accenture study is timely. We agree with most of the findings.  However, we do have reservations about report's conclusion security. Reality is that security is one of the many serious concerns in wireless applications. This study is in direct contrast with Information week study which stated security is one of the top four concerns in USA. In spite of all these concerns, consumers and enterprises will go for wireless applications so log as they give real value.  May we remind our subscribers that law enforcement agencies have utilized wireless infrastructure applications for the past 15 years with less security than current generation of networks. The reason is that public safety systems are essential to their daily work.

As far as killer application is concerned, wireless e-mail might be the closest. There may not be one single killer application but whole suite of little applications after consumers get used to them, might be the 

Note: This news release may contain forward-looking statements. Readers should take appropriate caution in developing plans utilizing these products, services and technology architectures.

All trademarks used in this summary are the property of their respective owners.


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