Vodafone UK Uses Manhole Covers to Boost Mobile Network’s Reach

Operator Vodafone UK is installing small antennae below street level, under manhole covers, to help improve its 4G/LTE mobile network coverage in busy urban areas. This equipment can be installed with minimum inconvenience to the local community, as no street-disrupting construction work is required.

The manhole-cover antennae are connected using the operator’s fiber converged network, which spans the U.K. According to the operator, can be upgraded easily for a future 5G network. The solution has debuted in the city of Newbury, and Vodafone has installed two types of mobile-enabled manhole covers at its office and technology center there. One is a purpose-built reinforced unit about the size of a water barrel sunk into the ground, and the other uses an existing cast-iron manhole cover. These devices can carry calls and enable high-speed internet access over a 200-meter radius.

Outside Newbury, Vodafone is also looking to deploy 4G/LTE antennae under its own manhole covers—which the operator acquired through its takeover in 2012 of Cable & Wireless Worldwide—as well as those of utility providers across the country.

Even in some of the most advanced mobile markets, mobile “not-spots” and other coverage issues continue to plague users. The U.K. is a well-known example of this persistent problem, and Vodafone is apparently responding to it, with a technological innovation that seems to combine low cost with low impact—a felicitous combination for operator and customers alike.

Leveraging its own fiber converged network, the operator is deploying a means of boosting its network’s signal at specific points where coverage has been a problem, without needing to build towers. Small antennae, invisible to residents because they are underground, are being used to accomplish the same goal, at much lower cost and without impinging on the urban environment.

In the rollout of this technology, the manhole sites belong to the operator, a strategic use of resources from a the acquisition of a cable entity. But Vodafone’s future plans involve underground locations belonging to various utility companies across the U.K. This arrangement will greatly extend the system’s reach, and as such represents a very valid partnership concept.

If the solution really does end up improving Vodafone’s LTE network coverage, to the point where it is noticeable by the average user, it will give the operator competitive advantage over its rivals, which would drive revenue by causing an increase in new subscribers. Revenue will also be increased if existing users consume more services due to the increased coverage. 

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance.  

To learn more about Tarifica, please visit www.tarifica.com 

KDDI to Launch Mobile Communications Plan for PCs

Japanese operator KDDI will launch a mobile data plan for PCs on 21 June. Called LTE Data Pre-paid, it is offered via the operator’s Mobile Communications Plan and is enabled by April 2018 Update. It will be available to subscribers of KDDI and its subsidiary Okinawa Cellular who have Intel-based eSIM-compatible PCs running Microsoft Windows 10 with the latest update, from April 2018.
 
LTE Data Pre-paid makes 4G/LTE high-speed data communications services over the au network (au being the brand name of KDDI’s consumer mobile service) available to domestic users in Japan. Users will not need to purchase a separate SIM card. Additionally, users of both au smartphones and eSIM-enabled PCs who contract for fixed-price data service can “data-share” via the au smartphone and take advantage of the data capacity already purchased. The service will cost JPY 1,500 (US $13.68) per GB, valid for 31 days.
 
The ever-increasing demand for mobile data services includes PCs as well as the more-frequently-used smartphones and tablets. As more and more people expect access to high-speed mobile data at all times and places, on all kinds of devices, the eSIM market constitutes a source of revenue that operators should take full advantage of.
 
Laptop users on the go can get their data from public or private Wi-Fi networks, or by tethering to their smartphones. However, Wi-Fi is often compromised by reduced speeds due to too many users on the network, and tethering has limitations in that PCs may have higher data demands than smartphones do and not all smartphones are capable of being tethered. The eSIM technology, on the other hand, enables laptops to receive data directly from a cellular source. And given the fact that functionalities used on PCs can demand a great deal of high-speed data, we think that operators such as KDDI stand to earn a good deal of revenue from it.
 
Making LTE data available via eSIMs on compatible PCs, therefore, is a good move for MNOs, and doing it on a prepaid, per-gigabyte basis makes a lot of sense. In this case, the pricing is at a reasonable rate. Finally, the data-sharing feature of this offering is likely to be very appealing to subscribers who are already au users, in that they can apportion data allowances that they have already paid for across the two platforms—i.e., smartphone and PC. It would be a wise for operators to introduce offerings such as this one for a greater range of laptops and operating systems.

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance.  

To learn more about Tarifica, please visit www.tarifica.com 

Okwu Mobile to Launch 4G Smartphones in India

 Startup Indian operator Okwu Mobile is preparing to launch 4G-enabled mobile phones on the local market, according to CEO Anshuman Atul. “We have four different handsets planned at certain time intervals during the coming first operating years,” Atul says. “Initially, we will go on shelves with one 4G smartphone under INR 8,000.00 (US $120.00) category.” Okwu, which is expected to launch services in India before the end of this year, will offer an inbuilt service center application called Ucare, which will enable customer service personnel to get remote access to users’ smartphones, as well as offering consumers doorstep service for hardware repair. Okwu also plans to offer apps to support various IoT accessories, which it plans to roll out at different stages during the first year of operations.
  

Okwu Mobile is aiming at budget-minded customers in the Indian market, and as it prepares for launch, its strategy appears to be twofold: to emphasize the emerging consumer IoT sector and to offer own-brand budget 4G smartphones. Here is yet another example of the trend we have seen across many markets in the developing world—in order to create and maintain viable 4G networks, operators have to make sure that devices capable of fully utilizing those networks are in the hands of their subscribers, who traditionally have favored non-4G and even non-smart devices for reasons of price. As budget handsets become more widely available, particularly from Chinese manufacturers like Xiaomi, operators are partnering with manufacturers to distribute and subsidize such devices. Okwu, however, is taking a somewhat more bolder and more direct approach by launching its own affordable 4G-enabled smartphones, which, although they will at least initially be manufactured in China, are a venture of Okwu itself and will carry its brand. This could help the brand establish itself more firmly with consumers as the operator enters the marketplace, as well as promoting uptake of 4G services. 

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance. 

To learn more about Tarifica, please visit www.tarifica.com 

Jongla Pitches Its Instant Message Service to Africa

Finland-based OTT messaging service provider Jongla is targeting the African market with a campaign stressing that people there can save money and reduce their data requirements by switching from WhatsApp and other OTT apps. Jongla has been specifically developed for people living and working in Africa and other emerging markets in which data costs are high and coverage is unreliable. Jongla says it is the most data-light instant-messaging app in the world, taking only 3.4 MB to download on Android phones compared to WhatsApp (23.7 MB), Facebook’s Messenger (30.2 MB); most other messaging apps take up at least 20 MB. Furthermore, once downloaded, Jongla uses just 10 percent of a handset’s memory, meaning that users do not have to uninstall any apps to make space for Jongla. The app’s unique data compression techniques ensure that it does not consume as much mobile data as other messaging apps for essential background processes. Jongla is platform-independent and works over low-speed Wi-Fi networks as well as 4G, 3G, EDGE and GPRS.  Here is yet another OTT challenge thrown down before the world’s mobile operators. This time, an enterprising developer has found ways to make its app especially easy and cost-effective to use, particularly in markets where the majority of smartphone customers have budget devices and where cellular coverage is not the best. Mobile operators in emerging economies, where cost is a paramount concern, already have a hard time competing with OTT providers when it comes to messaging. With apps like Jongla coming on the market, they will likely have to work even harder to come up with distinctive and appealing offers—for device deals as well as services—in order to keep subscribers messaging over their cellular networks.

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance. To learn more about Tarifica, please visit www.tarifica.com

Youfone Makes Changes to Data Bundles

Dutch MVNO Youfone has made some changes in its data bundles. Bundles of 500 MB, 700 MB and 5000 MB will no longer be offered while a bundle of 6000 MB will be added. The MVNO now provides bundles of 1000 MB, 1500 MB, 2000 MB and 6000 MB. All non-4G bundles will now cost the same, regardless of whether they come with a contract that can be terminated on a monthly basis or with a two-year contract. Speeds for the 4G bundles has been increased, from 50/25 Mbps to 256/150 Mbps. MVNOs, once the province of the budget-minded consumers who emphasized voice calls and messaging over data consumption, are now definitively in the big-data business. Being averse to long contracts no longer implies being averse to heavy mobile internet use, and Youfone’s new suite of data bundles appears to respond to this trend. By eliminating small packages and adding even larger ones, the MVNO is catering to the needs of its customers, encouraging more data consumption, and maximizing the use of its networks, both 4G and non-4G. Increasing speeds is also a good way to promote more data use. And by pricing all non-4G bundles the same, the operator is clearly incentivizing customers to use enough data so that they will decide that non-4G is no longer fast enough to accommodate their needs and therefore make the switch to 4G.

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance.

To learn more about Tarifica, please visit www.tarifica.com 

Farmers in Rural New Zealand Are the Biggest Users of Spark’s 4G network

New Zealand operator Spark has found that farmers and the rural sector consistently use the most 4G/LTE data across the entire country. When analyzing data traffic over the last month, Spark’s cell towers in both Waiuku and Te Puke showed the highest volume of use. Farmers and rural residents in these two locations are consistently using over 1 TB of data each week. Other rural sites including Pukekura, Te Awamutu, Pukekohe and Te Kawa also rank extremely high in 4G data usage. This news from New Zealand is a useful reminder that while the assumption tends to be that users in dense urban areas are the most sophisticated and data-hungry, rural users, particularly in countries such as New Zealand that have a thriving agricultural base, can also be major market drivers. The fact that farmers there stand out as the biggest consumers of mobile data also illustrates the point that mobile internet can be especially desirable in regions where fixed line service may be relatively less available and/or less efficient. Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance. To learn more about Tarifica, please visit www.tarifica.com

Be-Bound Offers Web Access Without Data Service

French startup Be-Bound says it has found a way to allow smartphone owners to continue using their internet and connected apps where there is no 3G or 4G/LTE coverage. The company states that it offers “the first solution that allows users to stay connected anywhere there is a working phone signal. We use the SMS network as an alternative transport layer to bring users a true app experience when there is no internet network and reach even the most remote regions.” Be-Bound has developed a patented compression algorithm to reduce the data traffic generated by its apps. “Even when our e-mail app is working with 3G/4G, users consume up to 5 times less data than when using standard e-mail,” the company’s website states, adding that the start-up is opening its technology to mobile app and IoT developers who want to reach wider populations.    Solutions to allow internet access to non-3G/4G users and even to feature-phone users are nothing particularly new. Be-Bound’s technology, however, promises a rich experience akin to true smartphone high-speed data. While other solutions have been marketed mainly to customers in developing markets who do not yet have smartphones and data plans but still wish to connect to Facebook and surf the web—with the hope of encouraging them to eventually adopt data use—Be-Bound’s system seems targeted to smartphone and data users who experience spotty access to high-speed signals, a problem that occurs in many areas, developed and developing alike. Whether or not its technology delivers these impressive results, of course, remains to be seen, but the promised increase in data efficiency, if fulfilled, could resound beyond the current specific application.

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance. To learn more about Tarifica, please visit www.tarifica.com

AT&T Mexico Launches 4G in Six Cities

U.S.-based operator AT&T has announced that Iusacell and Nextel customers with an AT&T United plan can now access 4G/LTE services in a total of six Mexican cities. The service is available in Atlacomulco in the State of Mexico, Cuernavaca and Cuautla in Morelos, and Pachuca, Tulancingo and Tepeji del Rio in Hidalgo. Customers in the covered areas simply need an LTE-enabled smartphone and SIM card to access the network. In May the operator said it would be in a position to offer solid 4G coverage throughout Mexico by the end of 2016. This launch of 4G services in six major Mexican municipalities is the first step toward the realization of AT&T’s stated plan to create a North American mobile service area that will eventually cover more than 400 million customers and businesses in Mexico and the U.S. AT&T’s acquisition of Nextel Mexico and Iusacell for a combined total of US $4.4 billion earlier this year gave the U.S. operator the wherewithal to create this cross-border network. Nextel’s network serves some 76 million people in a nation of 120 million, while Iusacell brought AT&T 70 percent coverage and 8.6 million customers. However, in order for AT&T to truly integrate its Mexican network with its U.S. network, the quality levels in the two countries have to match, so it will be key for the company to have 4G in place in Mexico as well as in the U.S. This launch, though limited, points the way forward.

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance. To learn more about Tarifica, please visit www.tarifica.com

Telenor Norway to End 3G Service Ahead of 2G Service

In a recent statement, Bjørn Amundsen, Telenor Norway’s director of coverage, said that within five years the operator’s 4G/LTE network will match its 2G network in terms of coverage. Telenor Norway has already deployed 4G/LTE service in 42 of 87 municipalities in the country’s key northern territories and is on target to cover all municipalities in northern Norway by the end of 2016. Currently, subscribers can only access data on Telenor’s 4G/LTE network, but the operator plans to launch VoLTE before the end of the year. Amundsen also said that the MNO will phase out its 2G network within a decade and will end 3G service sooner than that. It will maintain its 2G network longer than its 3G network due to device compatibility issues and the growing number of M2M services.

Telenor Norway’s prediction that it will end 3G service ahead of 2G service comes as no surprise, as we have seen other operators, such as those in the U.K., state the same thing. In New York, U.S. mobile operator Verizon Wireless has shut off 20 MHz of spectrum that was once allocated for 3G service and is running 4G in its place. The operator is doing the same on its network in Cleveland, OH. Lastly, as we have previously reported, in India, where adoption of 3G networks has been slow, some operators may go directly to 4G from 2G networks, bypassing 3G service altogether. Requiring operators to maintain three networks is very expensive, so it is critical that they choose how to repurpose spectrum based on return of their investment. For most operators, 2G networks are still an important source of revenue, particularly in rural areas, where the return on investment for 4G infrastructure upgrades will not be enough to make it very profitable. In addition, 2G service uses a low frequency, which results in reduced operating costs for MNOs. On the other hand, 3G competes more closely with 4G in that it is data-focused, and with 4G service, operators may be able to upsell users to larger data packages due to the faster speeds it offers. As Telenor Norway begins to refarm its spectrum, 3G service may well be the first to go, mainly to ensure that there will not be any loss of coverage in hard-to-serve areas and to ensure that users with older handsets still receive service. Once its 4G/LTE network can support VoLTE across the country and more users have 4G-enabled smartphones, we may still not see the total elimination of 2G service, because 2G is particularly useful for M2M connectivity, which is in growing demand.

The above item appeared in a recent issue of The Tarifica Alert, a weekly resource that analyzes noteworthy developments in the telecoms industry from around the world. Contact Tarifica for a subscription to the Tarifica Alert. 
Tarifica is the leader in monitoring and analyzing telecom pricing, covering hundreds of operators in every region of the globe. Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance. Click here to contact a Tarifica Analyst.

3 UK CEO Sees Coverage As “King”

3 UK CEO Dave Dyson used the phrase “coverage is king” in referring to network differentiation as an increasingly important factor that drives subscriber growth. “Coverage is king, if you can serve content in a user friendly way, exclusive content will help but it is not going to be the major driver,” he said in response to Vodafone UK CEO Jeroen Hoencamp’s recent statement that “content was the real driver.” Dyson also pointed out that as network quality became more and more important to customers in the current market, the influence of handsets continued to decline.

We agree with Dyson that coverage is a very influential factor in determining which operator consumers choose as their service provider, and although Hoencamp has said that content is the real driver of what people do and care about, he did acknowledge that 4G service is the enabler. “Our 4G entertainment packs are massively successful for the simple reason that customers do not buy 4G for the latest technology, which includes speed—they switch to Vodafone 4G because there is a particular content they want to access,” said Hoencamp. While on the surface it may appear that coverage really is the deciding factor in determining the best provider, exclusive content, as well as cost, and the amount voice minutes, SMS and data are among several other factors that are seen as deciding for customers choosing an operator’s plan. For the most part, operators with the strongest networks will attract the largest amount of subscribers, and MNOs that can deliver the highest-quality services to their customers will come out on top.

“The Tarifica Score™, a proprietary mathematical model, evaluates all of these factors and determines the ultimate value offered by a plan to consumers by comparing all its features against its cost. Coverage has value within The Tarifica Score™ if coverage is a factor within a particular country. Coverage in the UK’s rural areas does not live up to the same standards that are found in its cities. So while Vodafone may receive some points in our score from value-added services such as exclusive content, the coverage still needs to be there for it to come out on top.”

Kamely Hayes,

Managing Editor,

The Tarifica Alert

The above item appeared in a recent issue of The Tarifica Alert, a weekly resource that analyzes noteworthy developments in the telecoms industry from around the world. To access all of the latest articles and issues or to speak with the research team: http://www.tarifica.com/contactus.aspx

Huawei Manufactured 320,000 Smartphones in Argentina in 2014

Chinese device manufacturer Huawei produced nearly 320,000 smartphones in Argentina’s Tierra del Fuego province over the past year, through an agreement with local firm BGH. The Chinese firm recently signed an agreement with another Argentine manufacturer, Newsan, to assemble smartphones in the same province. The agreement stipulates that the devices will be distributed in the domestic market, where Huawei Argentina aims to sell 1 million of them in 2015.

Huawei has been moving aggressively to take massive market share with its low-priced but relatively full-featured smartphones. The company recently announced a significant investment in India, where the rising middle class has indicated strong demand for its devices. Argentina, which lags behind the region in terms of 4Gs rollout and adoption but is making moves to catch up, is also an excellent prospect for Huawei. Manufacturing the smartphones there is a good way for the company to keep prices down.

The above item appeared in a recent issue of Tarifica's "The Story of The Week", a weekly report that analyzes noteworthy developments in the telecoms industry from around the world. For past issues or to learn more about The Story of The Week or to contact the Tarifica Research department:  http://www.tarifica.com/contactus.aspx

Mobile Data Price War Appears Imminent in India

Bharti Airtel, India’s largest mobile operator, has announced that it will begin offering its 10 GB high-volume 4G data plans for less than the comparable 3G plans. The 33 percent cost differential between 4G and 3G plans—INR 999.00 (US $16.14) versus INR 1,499.00 (US $24.21)—is substantial. For the operator’s lower-volume data plans—1 GB, 4 GB and 5 GB—the prices of both 3G and 4G service are nearly identical. Bharti Airtel was the first operator to launch 4G service in India and now offers these services in 12 cities including Kolkata and Bangalore. The operator says it plans to expand this offer to Delhi soon. The announcement about pricing has sparked a response from competitor Reliance Communications (RCom), which unveiled an INR 999.00 (unlimited data plan with speeds of up to 14.7 Mbps. With regard to the plan, RCom chief executive Gurdeep Singh stated that customers could download “hundreds of GBs for INR 999.00 without fear of bill shock at the end of the month.”

Both these moves appear aimed at locking in as many of the top tier data consumers as possible as a preemption of Reliance Jio’s 4G launch, which is expected in 2015. Reliance Jio’s introduction of the service should have a particularly large impact, since due to its purchase of Infotel in 2010, the operator is the only provider in India with the requisite spectrum to offer nationwide 4G service. That will be a strong value proposition for the country’s biggest spending consumers. As this launch grows closer, we expect Bharti Airtel, RCom and India’s many other operators to double down on this approach and include increasing volumes of 4G services at reduced prices.

The embrace of this strategy bodes ill for the long-term prospects of the Indian market. Operators there have consistently reported razor-thin margins and have struggled to build nationwide networks or even regional ones that can handle significant traffic. Further complicating matters is the fact that in the roughly four years since the launch of 3G services, none of the operators has been able to draw enough subscribers to make even their limited networks financially viable.

We at Tarifica appreciate the desire to move customers onto 4G plans and understand that in a country like India, which has significant economic inequality, locking the small group of high-spending consumers into service agreements is critical for an operator’s success. However, the course Indian operators are currently pursuing has the dual risks of leading to a total abandonment of 3G before it has gotten off the ground and permanently devaluing 4G by locking it into a cycle in which prices can only continue to go down. One need only look to the numerous European examples in which MNOs were pressured to encourage rapid 4G adoption and then found themselves in a position of ever-increasing infrastructure costs paired with constantly declining ARPU. Most industry observers, ourselves included, believe that operators in emerging markets have much better long-term prospects than their more-established peers in mature markets. These assumptions, however, could end up reversed if these operators insist on repeating the mistakes of the past—as appears to be the case in India.

The above item appeared in a recent issue of The Tarifica Alert, a weekly resource that analyzes noteworthy developments in the telecoms industry from around the world. To access all of the latest articles and issues or to speak with the research team: http://www.tarifica.com/contactus.aspx

UK Regulator Issues Report on Speed and Coverage

Ofcom, the U.K.’s telecom regulator, has issued a new report on the state of mobile broadband. It is based on the results of roughly 210,000 tests from five major cities—Birmingham, Edinburgh, Glasgow, London and Manchester. The study included the U.K.’s four largest MNOs—EE, O2, Three and Vodafone—and ranked them on the following metrics: average download and upload speeds (see graphs below), average time to load a web page and average latency (all of these for 3G and 4G). Also included in a separate section of the report were assessments of each operator’s current 3G and 4G coverage for June 2014 and October 2014. While the results were mixed across the multiple statistics, the strongest performer was EE, which posted the fastest 3G and 4G download speeds, fastest 4G upload speed and highest coverage percentages. With regard to the study, Ofcom Chief Executive Ed Richards stated, “Improving mobile quality of service is an important area of Ofcom’s work. Our research both incentivizes mobile providers to offer a higher quality of service while helping consumers choose a mobile package that best suits their needs.”

Unsurprisingly, the operators that did not perform particularly well have already issued statements calling the study’s results into question. While we appreciate that other operators might have performed better if a different set of cities had been chosen or if more rural areas had been included, we believe the data collection techniques and metrics used in the Ofcom study are statistically sound and that its results provide a relatively comprehensive picture of mobile broadband service in the U.K.

We applaud Ofcom for undertaking this type of serious study and publishing the results in a format accessible to laymen and believe that this represents a strong example of regulatory best practices. We have often criticized regulators for being overly involved in dictating mobile prices and service/coverage thresholds. While these goals are admirable, these kinds of top-down regulation are too often heavy-handed, inflexible and counterproductive. This newest Ofcom study represents a smart step in the other direction. The greatest challenge for consumers in the mobile ecosystem is the abstractness of the product—such things as download speed, network latency and 4G coverage are not intuitively obvious to many—and it is in the interest of each operator to advertise only the metrics in which its network performs best.

Most consumers are capable of weighing the benefits of increased coverage or speeds against greater monthly costs or reduced allotments, but what stops them is the fact that available information is often limited, contradictory or derived from suspect sources. By conducting a thorough survey and publishing the results, Ofcom is creating an environment in which each operator has every incentive to improve its network’s performance, since they know that its progress will be tracked and reported on by an independent actor. We believe that this program will help the U.K. increase its mobile broadband speed and coverage much faster and at much lower cost than the traditional top-down approaches. 

The above item appeared in a recent issue of The Tarifica Alert, a weekly resource that analyzes noteworthy developments in the telecoms industry from around the world. To access all of the latest articles and issues or to speak with the research team: http://www.tarifica.com/contactus.aspx