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| Wireless LANs: An Alternative to Bypass 2G-Based Networks?
| | 05/01/02, T1 Shopper | | From MarketResearch.com | |
As wireless local-area network (WLAN) technologies continue to make headway into Latin American markets, the uptake of WLAN equipment in both business and residential markets remains far behind other regions and, in particular, the United States. Key elements including low PC penetration, poor product distribution, and small-but-growing market knowledge of WLANs have limited the early success of WLAN introduction for the region. Unlike the U.S. market, where the technology has generated strong consumer interest and even ad hoc neighborhood networks based on 802.11, Latin American WLAN players must direct their efforts toward developing better distribution networks and increasing educational marketing efforts to stir consumer interest. While import duties and a lack of scale continue to make WLAN more expensive in most markets than traditional alternatives, sector players should focus on the cost and service benefits of substituting WLAN for existing networks. The Institute of Electrical and Electronics Engineers (IEEE) designed a task force to create and develop a wireless solution to improve the flexibility of the local-area networks (LANs) and gain the physical and economic benefits of a wireless environment. The implementation of the radio frequency (RF)-based technology called 802.11 generates many cost and logistic benefits to both IT managers and end users. The WLAN solution provides flexibility to both residential and corporate users, who want to exchange files or share Internet access among more than one device (PC, notebook, or PDA), and can be implemented with both peer-to-peer and client/server configurations (see Exhibit 1). The 802.11 standard also allows for structure variation according to the combination of the size of the area to be covered and the data transfer rate needed. WLAN solutions can be quickly implemented because the network does not require the running of cables through the walls and constant reconfiguration of jacks often needed for wired LANs, which represents a significant reduction in the cost of implementation and maintenance. In this Report, the Yankee Group describes the early stages of deployment in Latin America, as well as the value chain, initiatives, and opportunities due to the lack of 2.5G/3G network deployments. | |
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