Wireless Industry's Staggering Impact on U.S. Economy

Posted by: Olga Kharif on July 07, 2008

I just read some staggering data: By 2016, U.S. wireless industry will help bring about more productivity gains — $427 billion annually — than auto and pharmaceutical industries combined, according to a just-released report from consultancy Ovum.

Where will these benefits come from? Well, employees will increasingly use wireless broadband networks to access the Web from anywhere. Such networks should improve efficiency of providing at-home health-care services and help enable a much more mobile sales force. Wireless voice services will continue to displace desktop phones.

Clearly the CTIA, the wireless industry’s association that commissioned the Ovum study, has done so hoping for some favors, such as less regulation. I suspect that the Big Two — AT&T and Verizon Wireless, which control the lion’s share of U.S. wireless subscribers – are trying to prove that market consolidation of recent years has not had an adverse effect on consumers. And they want to warn Congress and regulators to thread carefully with efforts such as free-broadband-for-all, currently in review by the Federal Communications Commission, to make sure they don’t disrupt the industry — so Ovum’s productivity projections can come true.

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Reader Comments

Rolf Bork

July 8, 2008 02:52 AM

"efficiency of providing at-home health-care services"...the scoping of the huge benefits is the easy part of the powerful combination of web based services and wireless web access.

Managing the INDIVUALIZED (and ever changing) DIGITAL HOME configuration to ensure SECURITY AND INTEGRITY is the tough part unless radical home network management innovations are being used.

For IT experts here is a benchmark:
US Pub No 2004/0148418A1
Rolf Bork, BOD mediaf.com & sensitivetech.com

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BusinessWeek writers Peter Burrows, Cliff Edwards, Olga Kharif, Aaron Ricadela, Douglas MacMillan, and Spencer Ante dig behind the headlines to analyze what’s really happening throughout the world of technology. One of the first mainstream media tech blogs, Tech Beat covers everything from tech bellwethers like Apple, Google, and Intel and emerging new leaders such as Facebook to new technologies, trends, and controversies.



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