Wi-Fi's New Revenue Opportunity and Operating Liabilities
By Colby Goff Senior Vice President of Strategy and Business Development, Boingo Wireless | May 06, 2012
For anyone involved in any aspect of the wireless data business, June 29, 2007, will forever be remembered as the day the tide turned. On that day, Apple launched the first generation iPhone, which served as the vanguard of an entirely new way of thinking about phones, the Internet and data on-the-go.
Fast forward nearly five years, and instead of public Wi-Fi being a service directed at 99% laptop users, we see that 64% of users are connecting to the network on non-laptop devices, whether they are smartphones, tablets, e-readers, personal gaming consoles, cameras or other more unconventional devices.
In that same time, we've seen the explosion of apps and services that have come to define a "digital lifestyle" - everything from social apps like Facebook and Twitter to streaming media services such as Netflix, Hulu and Spotify. Increasingly, people in general - and travelers in particular - expect to leverage wireless data services to maintain that digital lifestyle regardless of where they might be.
This has created an exponential increase in data demand with two drivers - both individually in data volume due to the new high-bandwidth services being consumed, and in aggregate with the increased number of people with more devices seeking connectivity.
This growth in devices and data demand creates an environment that hotel operators can leverage to generate additional revenue while improving guests' overall experience. The down side is that it also increases the amount of effort you'll need to invest in managing and monitoring the network for security breaches and to fulfill law enforcement requests for information, but ultimately it can be a valuable tradeoff.
Increases in Devices and Data Usage
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