Mobile Broadband Market Comes of Age as Operators Target Fixed Broadband
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Published:
Week 9
March 2008 -
Image Source:
CCS Insight
News:
Sales of mobile broadband USB dongles/sticks are set to accelerate as mobile operators aggressively target the fixed broadband market. Vodafone, T-Mobile and 3 have all expanded propositions beyond business users into the consumer market and traction in the first quarter suggests 2008 will see significant year on year growth.
Vodafone’s Q4 2007 results highlighted the success of the Vodafone Mobile Connect USB modem range, particularly in the consumer segment.
Media reports also suggest that USB dongles now account for at least 15% of all T-Mobile UK and 3 UK contract subscriptions (up to 40% of sales in some stores). The subscriptions are proving especially popular with consumers and those who require broadband access without the restrictions of a fixed-line service.
In February 2008, Vodafone UK announced a significant price drop for the use of 3G mobile broadband services to just £15 per month for an allowance of 3Gb (see CCS Insight Hotline 2008-06 Mobile broadband competition intensifies in UK as operators target fixed broadband), (see figure 1). Vodafone UK has also expanded its USB modem and data-card portfolio with the addition of the USB Modem Stick supporting 7.2 Mbps (see CCS Insight Hotline 2008-03: 3G broadband market intensifies as Vodafone UK launches 7.2Mbps USB Modem Stick).

Figure 1: Vodafone UK Mobile Broadband Advertising
Source: Vodafone UK on-line sales

