January 27, 2004

Wireless LAN and WAN PC Card Markets Gaining Strength

In a recent survey, In-Stat/MDR (http://www.instat.com) found that, not only is the market for wireless LAN and WAN access growing, but so are the markets for the products and services that support them. A survey of the high-tech market research firm's panel illustrates strong demand for wireless PC cards, with 30 percent of respondents that have, or plan to purchase, a notebook computer stating that they use a PC card today, and another 37% indicating they plan to use one in the future.

"To make the most out of this market, PC card providers must understand users' willingness to pay, and the channels that they wish to purchase these cards through. They must also understand the types of devices that people want to use them with, and the applications that they wish to access," says Becky Diercks, Director of Custom Research/Principal Analyst, Wireless Data & Internet at In-Stat/MDR. "According to this research, they should price products in the $50 to $100 price range, distribute through carrier and consumer channels, and support multiple device types."

The survey also found that:

Respondents' willingness to pay is greater for WWAN PC cards than for WLAN PC cards.

Currently, WLANs are used far more than WWANs, but cellular providers are placing an increasing emphasis on growing the WWAN business. As a result, many respondents are considering purchasing a WWAN PC card within the next year. Fifty-six percent of people planning to purchase a PC card expect to get a WLAN PC card and 16% expect to get a WWAN PC card (36% are undecided).

Users plan to access many applications, but primarily will access e-mail and the Internet, or intranet for company applications.

In the future, one can expect to see combo cards that offer functionality for multiple networks, but for today, PC card manufacturers can expect to see continued high demand for these products. The biggest competitor to this market, in the future, will come from the fact that wireless modems will increasingly be built right into the devices themselves.

The report, "Wireless LAN and WAN PC Card Markets Gaining Strength" (#IN030867WI),contains results from a study that reviewed the demand for both wireless Local Area Network (WLAN) and wireless Wide Area Network (WWAN) PC cards, including willingness to pay, distribution channels, applications used and planned, and the devices that people want to use to connect to the WLAN and WWAN. To purchase this report, or formore information, please visit: http://www.instat.com/catalog/Wcatalogue.asp?ID=104 or contact Rick Vogelei at 480-609-4533; rvogelei@reedbusiness.com.The report is priced at $2,495.00 U.S. Dollars.

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