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"...
we are on the threshold of a wireless revolution that will bring about
the increasing
convergence
of handheld devices and cellular phones, fundamentally altering the landscape"
PricewaterhouseCoopers"The biggest risk for organisations is believing that m-business opportunities are two to three years away. The pace with which businesses accept emerging technologies is accelerating. M-business is here today, and growing at a tremendous rate. "
Handheld
devices and their role in the development of m-commerce |
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The
results are below. The teams had two different approaches to this task.
Both results are useful to look at as a summary of wireless business and
m-commerce.
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. | Everybody seems to have
some say on the situation of wireless business and mobile e-commerce (m-commerce
for short). Most of the time we see articles and opinons on m-commerce
in leading newspapers and e-zines but there are also trade publications
and industry association reports that discuss this impending tidal wave.
Or, is it just hype. Is it a case of technology seeking a purpose? By March 2001 we have seen enough talk about m-commerce to presently be aware of journalists and e-experts discussing how the wireless world, in terms of actual business activity, is taking off more slowly than anticipated? Why is this the case? Is there a problem finding the killer ap among business to lead wireless commerce around the world? Possibly. People always say that if you forget history you are doomed to repeat it - in this case, it would do us well to look at how some killer aps boosted older technologies - and by looking at those older situations, see if we can find some twinkle or sign that will allow us to know what will be the killer ap that will cause wireless services to take off. WTGR |
Older
technologies |
What were record players used for in the beginning, and why were they invented? The pioneers of the record player were Thomas Edison, (1847–1878) with his phonograph, and Emile Berliner (1851–1929), who invented the predecessor of the vinyl record 1896. Edison's records were made of tinfoil, upon which a groove of unvarying lateral direction but varying depth was cut. Edison claims to have had as one of his original purposes, being the relationship between a businessman dictating letters to a secretary. Edison tried to produce a machine that would record the gentleman's speech, which could then be later played back by the secretary in a manner which would allow her to type out the words. What we fail to see sometimes is how quickly older inventions also spread fast and had their diverted and entertaining applications. How many readers of this page would be surprised to learn that edible records made of chocolate were a culinary delight in 1903. Of course, in 2001, we know that the phonograph's Killer Ap was not business oriented, but rather applied to music and it was entertainment purposes that drove subsequent developments. The reason we deliberate on this historical tale in IEC 802/812 is to keep in mind that all the businesses presently trying to find a great Ap for wireless technology, may be missing (what has been historically a great driver of inventions) the most powerful Ap - entertainment. written
with notes from Prof. Richardson's class on History of Technology
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. | Many of the professional
service firms, such as the accounting firms, law firms and management consulting
companies have addressed m-commerce in the PR material on their websites.
PricewaterhouseCoopers has a particularly good note on m-commerce since
it addresses the all encompassing aspects of its ffect on all business
categories.
WTGR "The convergence of wireless devices and the Internet is creating an important new channel to market — and the next wave of change across industries. Mobile business, or m-business as it has come to be known, will enable organisations in every industry to
from www.pwcglobal.com/extweb/mcs.nsf/docid/CD62BE635F4F749C852569DD0054B892 |
Physical Limitations
of mobile devices, which need to be addressed before m-commerce can fully develop |
"Wireless
devices demand new models of information delivery and knowledge management,"
says Dr. Mark Chignell, CTO of Personification Inc. and head of the Interactive
Media Lab at the University of Toronto.
To allow more data to be viewed on the cellphone screen, Personification has developed 2 new technologies, namely TextSummary and PhoneSummary
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Physical Limitations
of mobile devices, which need to be addressed before m-commerce can fully develop |
Friedman notes that "the mobile market is growing quickly. Almost 30 per cent of Canadian households have at least one mobile phone. Sales of Internet-equipped phones are skyrocketing, while sales of PDAs are expected to double over last year's. There will soon be a vast, mobile Internet-equipped market hungry for content and services." however, despite this trend,
Friedman cautions "...You can't build much of a display into a mobile phone
without seriously compromising its portability, and unlike computers, most
mobile devices are designed to be operated with one hand.... The killer
app for the wireless Internet may not be traditional Web browsing at
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"... the shift to wireless" | April
2000
Macaluso quoted IDC's prediction
that by mid-2001 all digital cellular devices will be WAP-capable. IDC
was further quoted by Macaluso as saying that the shift to wireless is
driven in part by a growing trend on the part of phone service and other
providers to encourage customers to use the Web for customer service, bill
paying and account information. It is a logical extension for these companies
to prompt consumers to buy products and services over their Internet-ready
phones.
"the mobile market is growing
quickly. Almost 30 per cent of Canadian households have at least one mobile
phone.[Nov 2000] Sales of Internet-equipped phones are skyrocketing, while
sales of PDAs are expected to double over last year's. There will
soon be a vast, mobile Internet-equipped market hungry for content and
services."
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bandwidth
and handset design limitations WAP |
November
2000
"The mobile Internet market is growing quickly, but bandwidth and handset design limitations mean the wireless experience won't match the desktop experience any time soon."
"WAP has been hyped as the
be-all and end-all of the wireless Internet, but it's important to remember
that it's just one of many technologies,"
"... WAP has to overcome at least two substantial obstacles before it's really ready for prime time. The first problem is that for now, digital wireless connections are limited to a glacial 9600 bits per second — about a sixth the speed of a pokey 56k modem. It's unlikely that anyone would have much of an "Internet experience" at that pace. However, the bandwidth issues are sure to be solved in due course. A more serious question
is whether handheld, mobile wireless devices like cell phones and
personal digital assistants are even particularly well suited to online
browsing. You can't build much of a display into a mobile phone without
seriously compromising its portability, and unlike computers, most mobile
devices are designed to be operated with one hand."
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Q. Who are some
of the early players in the wireless web access developments? A - Phone companies |
CNET had a story in December
1999 about Bell Atlantic's offering of wireless
http://news.cnet.com/news/0-1004-200-1431602.html?tag=st.ne.ni.rnbot.rn.ni The new Web Access plan will be available to Bell Atlantic customers on the East Coast starting November 17 (1999), the company said. To take advantage of the service, customers will need a Web-enabled phone from Qualcomm. Qualcomm's Wireless Business Solutions page Future market size
-
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. | Wireless e-business will
not develop strongly unless there is a "killer ap". A really good
application of any technological development has always been necessary
in order for something to become very popular.
Therefore we will look at
some of the developments in wireless banking to see if there is, or is
not, a potential there.
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WIRELESS BANKING WIRELESS
WIRELESS
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Historically speaking , the ease with which "first adopters" use a new technology, and its application, is critical to whether it will contine. When pocket pagers first came out they were bulky, expensive and had limited coverage - it wasn't until the cell phone industry took off in the mid-1990's that pagers had a system to piggyback on (the cell phone network) to carry their signal - then they became popular. Solomon cautions that "Wireless won't be a big money-maker for the financial services industry, but banks and brokerages are slowly adding it to their product offerings" because no one wants to be left behind. If there room for optimism.
Solomon notes " industry analysts say there's no one wireless killer
app, getting access to financial services is thought to be one of the
biggest reasons why people will want Internet-enabled cellphones and personal
digital devices, which are slowly entering the market."
The situation in March 2001
In conclusion, Solomon offers
that "the future of wireless financial services is in the hands of carriers
and device manufacturers. With bigger screens, users can get graphs
and more than three lines of information. But the networks that can
handle such data are at least a year away."
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WIRELESS BANKING WIRELESS
WIRELESS
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Mark Dickelman, vice-president of m-commerce and wireless for the Bank of Montreal, as quoted by Berry, says he "fully expects wireless banking to surpass the popularity of PC banking in record time." The full story, at
BOM implemented the Sun infrastructure
and hardware and 724’s E10,000 solution in anticipation of customer
demands. Dickelman noted "the wireless market may not have boomed yet,
but when it does the bank will have a well-run solution. Veev.com
allows the bank’s wireless clients to access all account transactions,
re-order cheques, take part in the bank’s brokerage services and do some
trading," according to Dickelman.
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What does wireless mean to the human experience? What does
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What is instant information? (WTGR)
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the human
business
relationship experience: location
determinant
the human business
location
determinant
the human business
location
determinant
the human business
location
determinant
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16th century Germany - the village blacksmith locates his forge next to the inn, which has stables for horses (which needs his horseshoes) and cooks that need his metal utensils - he is across the street from the local church which draws a large group of travellers from the outlying farms twice a week. 20th century Scarborough - the Macdonald's franchise owner buys real estate across from the local high school, which is adjacent to a medium size mall which is only served presently by a Becker's and a Tim Horton's. Both of these situations are location determinant - meaning the factors of
21st century downtown Toronto - February 2000 - a renovated building in the fashion district, now housing dot.coms. A website with small sized consumer products for sale. Content is multilingual and payments systems are varied. Shipping is cost effective.
21st century northern Mississauga - October 2002 - a renovated warehouse formerly belonging to Nortel Networks. A m-commerce service center uses advanced Bluetooth technology to target cell phone carrying pedestrians in the downtown Toronto core. The client, Tim Horton's which has been specializing in small size franchise locations.
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The
Technology 2.5G
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As Andy
Walker notes
"The wireless phone industry is moving toward a next-generation wireless technology known as 3G, which will allow wireless data connection speeds of up to 2 megabits per second (mbps) by the end of 2002 ... In the mid-term, a technology called 2.5G will be rolled out which will enable speeds of 144 kbps" |
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. | What is Bluetooth
Bluetooth enabled devices,
such as handhelds, will allow wider range access to the internet but at
present (August 2000) no such devices are publically available. The reason
for mentioning this now is that future applications will greatly increase
the number of people accessing the internet from various mobile devices.
Even more people accessing the Internet means more potential customers
for B2C situations.
"The idea behind Bluetooth
is to avoid the inconvenience of cables by enabling devices such as mobile
phones, PCs, printers and handheld computers to communicate with one another
over short distances using low-power radio signals to transmit data"
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The
Technology "Bluetooth" |
www.bluetooth.com
An industry consortium developing technology specifications for small form factor, low-cost, short range radio links between mobile PCs, mobile phones and other portable devices. "The Bluetooth communications device is a small, low-powered radio in a chip that will "talk" to other Bluetooth-enabled products, eliminating the need for cables or infrared beams to connect portable computers, cellular phones, printers, fax machines, etc. It will be possible to connect enabled devices on a one-to-one or one-to-many basis. Since the chip supports both
voice and data communications, applications will range from something as
simple as replacing the cable between a mobile computer and cellular phone,
to more complex connections involving multiple computers, and extending
into hands-free voice communications for wireless phones in vehicles."
ZDNET's list of online articles
about Bluetooth
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Industry
Associations ![]() global.mobilecommerce.com Global Mobile Comerce Forum |
In their own
words "The Global Mobile Commerce Forum is a diverse group of companies
from around the world, companies that want to have a say in the future
of mobile commerce, working together towards a future where consumers
will be able to use their mobile phones (or other devices) to carry
out their business wherever they are, whenever they want."
Industry association web
pages (including press relases and statements of intent) are helpful sources
of information about an industry sector as a whole.
GMCF comments that "Judging
by the development of the Japanese and European mobile industries, it
will be the entertainment and leisure
"Another key to the widespread
uptake of mobile commerce will be the rapid creation of portals, providing
specialised, personalised content...The mobile operators should be encouraging
the growth in the number of portals, preserving their interest through
joint ventures, cross-marketing agreements and shareholdings. For
the mobile commerce industry
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m-commerce
around the world ![]() |
"UK Wireless Usage Poised
for 'Hypergrowth'
By Nora Macaluso, E-Commerce Times June 8, 2000 ![]() www.ecommercetimes.com/news/articles2000/000608-7.shtml Macaluso writes "All new
mobile phones sold in the UK will be Internet-enabled by mid-2001, according
to a report from Forrester Research.
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m-commerce
in China m-commerce
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"Wireless B2B E-Commerce Developing
in China"
By Jim Romeo, E-Commerce Times, January 21, 2000 ![]() Romeo's story is based on
a report by the Yankee Group.
Who is "getting in on this
action"?, the Yankee Group notes that " MeetChina.com, China's official
cross-border Internet trade portal, recently signed an agreement with Motorola,
Inc. and China Wireless Information Network to broadcast B2B purchase inquiries
to a potential audience of over two million people using Motorola wireless
communication devices in China."
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m-commerce
in China m-commerce
m-commerce
m-commerce
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"Will China Look
West for Wireless?"
"almost all of the country's subscribers use the global system for mobile communications (GSM) format promoted by European countries. " China Unicom however has expressed interest in Qualcomm's current code division multiple access (CDMA) technology "Qualcomm ... found that it wasn't exactly a welcome guest in China. After launching a trial of its code division multiple access (CDMA) cell-phone technology in cities like Shanghai and Beijing, last June Qualcomm found itself out on its ear when China's number-two state telecom carrier, China Unicom, decided to scrap deployment plans. Then, in October [2000], the China Unicom reversed itself and announced that it will build networks using Qualcomm's CDMA" Size of the market "China's 1.3 billion population
has long been irresistible to Western companies. While analysts
Payment Systems "Those markets have 80 to 90 percent prepaid subscribers, which shows the effect prepaid services can have in an economy in which people don't have a lot of disposable income. This is important since China is a cash economy. It allows operators to tap into a huge market of people they weren't getting before." "Billing systems are very weak in China,... You can only get an itemized bill for something after you pay for it" says Harr Brickson Technology "Of course, with an expanding market, China will have to move ahead with next generation technology. Third generation, or 3G, technology accommodates more users than the current GSM standard. It also offers users greater access to the kind of bandwidth-intensive applications Chinese new adopters are looking for, like wireless access protocol (WAP). Indeed, even as China remains undecided about which technology format to adopt, the country is already rolling out WAP. Even taking into account the often-stated problems with WAP, such as limited screen size and slow download speeds, AsiaInfo's Chief Strategy Officer Michael Zhao notes that, "The idea of using WAP is very popular right now. In big cities, you see billboards advertising WAP-based cell phones everywhere." Chinese Players "basically two players, China Mobile Communications Corp., with the largest geographic coverage and more than 90 percent of subscribers, and China Unicom. To spur competition, China's Ministry of Information Industry has allowed Unicom some pricing flexibility." Foreign Players Qualcomm - building networks
for China Unicom
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m-commerce
in Japan |
![]() http://www.japaninc.net/mag/comp/2000/11/nov00_wireless.html A long, but very thorough article on mobile developments in Japan. This article covers all the latest [Nov 2000] developments being considered. points from the article by Daniel Scuka
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