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Wifi, MAN, Zigbee, UWB Stats Home > Main WiFi Page A new analysis of the wireless hotspot market in France, by the mobility practice of BroadGroup, the London based consultancy, suggests that service providers are basing their pricing strategies on short-term use with prepaid cards. The report, Pricing and Marketing Wireless Hotspots in France, focuses on the infrastructure for roaming and interoperability established by the main players in the market, and the pricing structures and packages offered. “Pricing of public access wireless LANs is still experimental in France”, commented Philip Low, managing consultant at BroadGroup, “and strategies are very much directed at apparent short-term usage behaviours. In contrast, the UK and US players are more focused on creating opportunities for long-term subscription based revenues”. The report found that pricing in the French market for public access services is markedly high across most time bands. In comparison to 8 other countries in Europe, France has the highest average charge for 24-hour usage at 24.25 Euros (approximately 3.8 times more expensive than Sweden, the cheapest country in the analysis for 24-hour rates). Where monthly subscriptions were available, the research found that the average monthly price in France is higher than average monthly broadband charges.(note 1) However the report suggests that the short-term focus evident in the pricing plans of service providers surveyed, will probably result in an escalation of prepaid cards and prepayment opportunities, which in turn may precipitate more competitive pricing. Players in France have moved quickly to establish interoperability and roaming alliances yet the report puts forward the view that the market power of the partnerships will, in the end, only remain plausible if the roll out of hotspots continues. Current deployment plans in France still fall far short of an ability to provide even relative ubiquity, and few multi-site deals are being concluded. As such the current prognosis is for a low number of hotspots by the end of 2003, and unless further change occurs, will not meet targets suggested in the market for 2005 and beyond. NOTES 1. Based on comparison of average price of monthly subscription for public access wireless LANs and monthly subscriptions for ADSL 514k broadband services in French market.
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