Dual Mode is “In”

Dual mode is one of the cool kids; part of the ‘in’ crowd. So says In-Stat in its research report, “Wi-Fi in Mobile Phones: Dual Mode Becomes the In Thing.”

Being driven in large part by the Apple iPhone (as we all know), Wi-Fi handset shipments increased by more than 50% from 2007-2008, and keeps climbing.

In-Stat’s research found the following:
• Wi-Fi/cellular handsets are driving hotspot usage. For example, AT&T recently announced that sixty percent of all AT&T Wi-Fi connections in the third quarter of 2009 were made from smart phones and other integrated devices, up from 49 percent in the second quarter.
• The potential for voice over Wi-Fi is gaining popularity, as cellular/Wi-Fi phones become more pervasive and consumer familiarity with VoIP increases.
• The percent of handsets with embedded Wi-Fi will more than double during the next two years.
• There were 121 models of cellular/Wi-Fi handsets introduced in the first half of 2009, almost as many as were introduced in all of 2008.

Victoria Fodale, In-Stat analyst, explained:

“Wi-Fi’s popularity as a compatible cellular technology is tied to its ability to improve the user experience and also help maintain the quality of the cellular network. A Wi-Fi-enabled cell phone allows for free access to data, and it improves performance.”

I hate to say I told you so, but I told you so here, here and here. Read back through this blog; I’m sure you’ll find plenty more.

Wi-Fi to 1 billion

Analyst firm In-stat recently updated its market forecast for Wi-Fi chips, projecting nearly a billion Wi-Fi enabled consumer devices by 2012. Most interesting for us at UMA Today is the claim that by 2011, cellular/Wi-Fi handsets will become the largest category of Wi-Fi enabled products.

No surprise here. Wi-Fi is now friendly for mobile operators. The benefits of improved coverage, mobile network offload, and home zone services are clear.

But it was the comment in the CNET article by Marguerite Reardon that hit the mark.

“Over the past few years, prices on Wi-Fi hardware have come way down. And the battery life for devices using Wi-Fi has improved dramatically, making it possible to embed Wi-Fi in handheld devices like cell phones.”

Poor battery life is a myth that has perpetuated too long in the dual-mode market. As with most technologies, market demand also demands innovation. UMA and Wi-Fi in handsets requires innovation over Wi-Fi embedded in a laptop. Several vendors have stepped up to make dramatic improvements in Wi-Fi, optimizing it for a handset environment.