Lex: Mobile handsets
Published: June 24 2003 20:31 | Last Updated: June 24 2003 20:31
Vodafone may crow that some customers now ask for the "David Beckham phone" - inspired by an advert for its Vodafone live! service featuring the England football captain. But most still ask for a Nokia. The branding of handsets in Europe remains a more powerful draw for users than the networks they are signing up to.
The continent's big operators are doing their best to make sure that changes. Orange, which already stamps its brand on handsets, on Tuesday signed a deal with Motorola which will produce a unique set of handsets. Orange also talked of putting more intelligence on to its network rather than into handsets. The network operators are increasingly aware that they need to differentiate themselves as data becomes a bigger chunk of revenues. Handset branding is one element. Another is having more say in design, so users find it easier to use new services, and therefore spend more money with the operator.
Vodafone live! is a good example. The Sharp handset, which is heavily Vodafone-branded, has easily outsold the equivalent Nokia. Its configuration for Vodafone services has also driven higher usage than from other handsets. Networks have long attempted to wrest more control over handsets. Market leader Nokia has so far resisted and continued to go from strength to strength. That will not change overnight. But as operators become more aggressive in working with individual manufacturers and stamping their identity on handsets, the risks for Nokia increase"
Oh boy, even the FT Lex Column is starting to talk about intelligence in the network and quits wittering about mobile networks always being about handsets. Maybe the world really is changing. Whatever, the truth is that the future of all communication networks will be driven by intelligence. Intelligence used to be hard, soon everything will be software running on standard NEBs boxes. The traditional TEM's will lose this battle to the IT giants - who in turn will buy their components from....
25 June 2003
Lex: Mobile handsets
Published: June 24 2003 20:31 | Last Updated: June 24 2003 20:31
Vodafone may crow that some customers now ask for the "David Beckham phone" - inspired by an advert for its Vodafone live! service featuring the England football captain. But most still ask for a Nokia. The branding of handsets in Europe remains a more powerful draw for users than the networks they are signing up to.
The continent's big operators are doing their best to make sure that changes. Orange, which already stamps its brand on handsets, on Tuesday signed a deal with Motorola which will produce a unique set of handsets. Orange also talked of putting more intelligence on to its network rather than into handsets. The network operators are increasingly aware that they need to differentiate themselves as data becomes a bigger chunk of revenues. Handset branding is one element. Another is having more say in design, so users find it easier to use new services, and therefore spend more money with the operator.
Vodafone live! is a good example. The Sharp handset, which is heavily Vodafone-branded, has easily outsold the equivalent Nokia. Its configuration for Vodafone services has also driven higher usage than from other handsets. Networks have long attempted to wrest more control over handsets. Market leader Nokia has so far resisted and continued to go from strength to strength. That will not change overnight. But as operators become more aggressive in working with individual manufacturers and stamping their identity on handsets, the risks for Nokia increase"
Oh boy, even the FT Lex Column is starting to talk about intelligence in the network and quits wittering about mobile networks always being about handsets. Maybe the world really is changing. Whatever, the truth is that the future of all communication networks will be driven by intelligence. Intelligence used to be hard, soon everything will be software running on standard NEBs boxes. The traditional TEM's will lose this battle to the IT giants - who in turn will buy their components from....
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