Innovation Engine Blog

What 4G Means for Mobile Innovation

November 24, 2009 (11:23 AM) by Raff Viton

Last week, we talked about the mobile whitespace, the power of the app and consumer consideration. And as we know, brands are utilizing the mobile space to not only commercialize products and services, but also to assist the consumer. The Mobile Magic app, for instance, by Disney and Verizon Wireless is replete with relevant content: wait times for rides, restaurant information and where and when Disney characters will make appearances are all included in a data dispensing, real-time, GPS enabled mobile guide. Now, Walt Disney World patrons can make decisions based on helpful information—effectively creating a richer, more realized theme park experience. Disney and Verizon Wireless are ultimately creating an entity beyond the app. Instead of filling the mobile whitespace solely with entertaining content or just charts and data, Mobile Magic finds the cross hairs. In this case, it becomes more than an application— it becomes a resource—maybe even a necessity to fully experience the World of Walt Disney.

 

But what happens when 4G hits mobile commercialization? How does an app like Mobile Magic hold up? Yes, you guessed it: faster.

 

The technology moving the message is ramping up—in fact two weeks ago, Clearwire launched WiMax, (also known as 4G) in Chicago, facilitating the beginning of an ultramobile enabled market. With higher speeds come the ability to view richer media, and since streaming audio and video from sites like youtube.com accounts for roughly 27% of global internet traffic, it’s not difficult to see where brands are looking next.

 

Hulu is already doing it. If you want to watch a free movie, you have to sit through a mini 15 second spot. But if 4G speeds things up and consumers watch more, shorter length videos on their mobile phones, what does this mean? One second spots for every thirty second video? This sounds like either subliminal messaging or completely ineffective, but most likely both. (And an aside: Hulu recently announced they will be charging for their content.) So now what?

 

Next week I'll highlight some of the companies that are creating innovative products, services, and business models to take advantage of the coming developments in mobile bandwidth and technologies.

 

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Comments


 Sharon Don November 25, 2009 3:08 AM
Thanks for your observations, and what an interesting topic!

Having been both GM Products & Services and Product development Manager for iBurst (802.20 standard - worlds first mobile broadband open access network) from 2004- 2007, my view is that many interactive and Xmash multimedia services that have been mass market hindered for such a long time will finally be available ( and come of age) . There are so many existing applications that truly come of age with true mobile /wireless broadband!
EG- We ran an all day broadcast for a radio station in location in an unconnected park using only an iburst modem with an 802.11 router.

Issues we faced, barriers to broadband service availability - and which will continue for some time ahead include:

High bandwidth realtime/multicast mutlimedia services
Peer to peer applications that resend dropped packets via the air interface, which severely impacts through put and channel availability - we developed solutions for this
Ubiquity - needed to consider Mobile IP network agnostic routing
Consumer v Business demand - needs QOS and DSCP markings for application level QOS
BackHaul and costs - Ouch!
Data costs - the most severe inhibitor

Definition of 4G is also interesting.
Broadband today is minimum of 1+ MBps per user (so if there are 20 users per cell, 20MB at air interface)
356/284 kbps were broadband in 2000!

If 4G means open access & MOBILE- great. ( that means auto secure handoff between cells)

Cellular (Mobile phone) networks are not true 4G for a number of reasons including the fact that the networks are both optimised & prioritised for voice; and have gateways that add latency, and are not IEEE compliant ( eg Layer 2 connection) and therefore not optimised for native IP applications. The Video codecs are often just extensions on old technologies and wil/ always add native latency.

However there are real opportunities for 4G providers to build SDPs with cool partnering models

Anyway just some quick notes while on the fly ( mobile in action) and food for thought/discussion.

Cheers