Western Europe enterprise mobile data market could reach EUR10 billion by 2011,

Analysys: The Western European market for enterprise mobile data systems for business users might reach EUR10 billion by 2011. This growth will primarily be driven by companies’ desire to improve responsiveness to customers.

Despite uncertainty within the industry about how this market will develop, the report identifies significant roles for applications specialists and hosting companies, as well as for mobile network operators.

The compelling reason for adoption of mobile data applications is that enterprises aim to differentiate themselves and gain competitive advantage by improving responsiveness to customers. But it is not yet clear how much time and money they will be willing to invest in trials and application development.

• Data service revenues will account for over 50% of the market for enterprise mobile data systems, which could grow with a CAGR of 13% to 2011.
• Analysys has identified three possible scenarios for the development of this market, based on critical uncertainties relating to demand, regulation (especially the emergence of data MVNOs) and technology.
• Spend on hosting and support, of which 90% will be for systems integration, will represent one-third of total expenditure on enterprise mobile data in 2011. Hosting and integration is likely to be undertaken by software developers and application specialists rather than MNOs.
• Two broad types of application are in use: workforce management systems, which involve transactions sent to always-on PDAs and which can easily be supported by 2.5G networks but require significant investment in integration; and collaboration tools, which are based on email and which will test the bandwidth capabilities of 3G and mobile broadband.

Scenarios for Enterprise Mobile Data Services 2006–11 Publ 20060912