re: Ericsson and Nokia and MMS and M2M
>> Multimedia Messaging: The Same Old Song And Dance?
Malcolm Spicer
June 19, 2001
Wireless Today
If you just looked at their announcement promoting multimedia messaging services (MMS), you'd think that Ericsson [ERICY] and Nokia [NOK] do nothing but cooperate for the benefit of the wireless industry. But if you looked at other announcements yesterday from those companies, it's clear they're still competing.
Sweden-based Ericsson and its Finnish rival Nokia are among the wireless technology vendors conducting a conference call today to discuss MMS technologies. "The objective is to raise overall awareness of MMS and to ensure consistent market development into an open global market," according to the companies participating, which also include CMG Wireless Data Solutions, Comverse Technology, [CMVT], Logica, Motorola [MOT] and Siemens [SI].
Those companies, and wireless carriers as well, hope their shareholders listen to their MMS pep rally, Don Longueuil, wireless analyst with Cahners In-Stat high-tech market research firm, told Wireless Today. Carriers are investing billions in deploying 2.5G and 3G networks that will provide multimedia services and technology vendors are spending billions to build infrastructure and devices for those networks, but none of them have anything to show for it.
"There's been lot of talk and very little implementation," Longueuil said. "I think for the carriers and the handset guys, this might be a way to reassure investors that MMS will happen, that people are still talking about it and there still is significant interest in it.
"Something has to come out and excite people to continue to look at wireless as the next big thing," he added.
Although today's conference call isn't addressing the adoption of messaging technology standards, it should serve to reassure the market that major wireless technology vendors are on the same page for messaging, Longueuil said.
"I think MMS is a way for Nokia and Ericsson to unite and to [notify] the rest of the industry that they're both working to get MMS off the ground," he said. "It's important for the major players to agree to some kind of terms just for the good of the industry."
While Ericsson and Nokia hold hands on the MMS front today, each company yesterday announced new wireless technology for applications that link machines, such as automatic meter reading, security, elevator control, fleet management, vending and medical care.
At its Nokia Connection 2001 product showcase in Singapore, Nokia said its machine-to-machine platforms consist of its M2M Gateway open software and its Nokia 20 connectivity terminals installed in remote devices. The platform offers voice and short-messaging service over GSM 900/1800 networks.
From its headquarters in Stockholm, Ericsson yesterday introduced GSM dual-band 900/1800 and 850/1900 modules to enable the use of general packet radio service (GPRS) networks for machine-to-machine communications. The company said GPRS-based machine-to-machine communications are well suited for navigation, mobile payment, alarm systems, traffic information, monitoring and control and mobile office operations.
It's no coincidence that Ericsson and Nokia released machine-to-machine announcements on the same day. That's because neither company can afford to let the other build a lead in rolling out new technologies.
"They both have to march to a very similar drum to get these services off the ground," Longueuil said.
The Bottom Line
In addition to soothing investors' concerns about their spending on next-generation services and technologies, the Nokia and Ericsson MMS pep rally today is likely directed at the public. That's right, the people using wireless services. They've heard about 3G services for so long now without getting the goods, they may be desensitized to the industry's marketing pitches. "Multimedia services?" many wireless users would say. "Haven't you told us that before?" <<
- Eric - |
