Wireless Device Strategies

First to market each quarter with the most accurate and detailed data on handset strategies. The industry’s most timely, consistent and accurate tracking of device vendor KPI metrics, as well as handset market sales and shipment forecasts.

December 21, 2011 16:30 Alex Spektor

The impending avalanche of NFC phones, which our Wireless Device Strategies (WDS) service projects to grow at an average of 67% per year over the next five years, has everybody thinking about contactless payments. With all the buzz around Google's soft-launched Wallet service and the US carrier joint venture ISIS, which should roll out in 2012, it makes sense. Indeed, the simple fact that money is directly involved in this particular application of NFC rightfully encourages the whole wireless value chain to think about potential revenue opportunities.

However, there is one often overlooked application for NFC -- intelligent device pairing. The idea is simple: instead of inputting PINs, passkeys, or even 26 hexadecimal digits to pair two wireless devices, the user simply "taps" two NFC devices together. The concept can be applied for any pairing event, regardless of which enabling technology, such as Wi-Fi or Bluetooth, is used to make the actual connection.

So far, only one handset vendor has actively promoted NFC for this application. Nokia's latest NFC-enabled handsets and Bluetooth headsets can be paired together using this very concept. Unfortunately, the latest Windows Lumia devices are not yet in this category, as Microsoft has not yet added NFC support to its platform. Nevertheless, Nokia's attention to NFC tech is a positive sign for the vendor's future portfolio. Nokia's strategy holds two key benefits: it future-proofs handsets, getting them ready for mobile contactless payment services once they eventually roll out, and it improves the usability of a typically cumbersome process.

Chip supplier Broadcom, whose interests span Bluetooth, Wi-Fi, and NFC has also recognized this useful application of the emerging tech, and we expect its chipsets and middleware to help device vendors think beyond mobile payments as they develop their NFC smartphones and tablets.

Alex Spektor
Wireless Device Strategies


December 19, 2011 19:22 nmawston

Strategy Analytics' Wireless Device Strategies (WDS) service has recently published an update to its popular suite of Enabling Technologies (ET) reports.

Our ET reports forecast almost 50 major enabling technologies for 6 regions worldwide, from 2004 to 2016. For example, we forecast sales of WiFi Direct phones to grow 200% in North America, Western Europe and Asia during 2012, due to consumers' rising interest in interconnected wirefree networks.

The granular ET forecasts and reports are used widely by operators, handset vendors, component makers, car manufacturers, financial analysts and content developers to identify high-growth technologies or underlying enablers that will drive mobile industry expansion for hardware, software and services in the near-term or long-term future. For example, we predict HTML5 handset sales to grow 100% in 2012, encouraging more cross-platform Web apps that will diminish the relative importance of native app stores.

A full list of our Enabling Technologies (ET) reports and their contents can be viewed or downloaded by readers at these three links on our website:


1. Enabling Technologies: A to E (e.g. accelerometer, DivX, DLNA, Dolby, dual-SIM):
http://www.strategyanalytics.com/default.aspx?mod=reportabstractviewer&a0=6695


2. Enabling Technologies: F to M (e.g. FM radio, GPS, HDMI, HTML, IMS-RCS, MPEG-4):
http://www.strategyanalytics.com/default.aspx?mod=reportabstractviewer&a0=6752


3. Enabling Technologies: N to Z (e.g. NFC, QWERTY, voice recognition, WiFi, WiFi Direct):
http://www.strategyanalytics.com/default.aspx?mod=reportabstractviewer&a0=6950


For more information, please do not hesitate to contact Neil Mawston, in the UK, at NMawston@strategyanalytics.com.


December 16, 2011 15:18 Alex Spektor

Analysts from our Wireless Device Strategies (WDS) service attended the recent 2011 Broadcom Analyst Day held in New York City, where the semiconductor firm highlighted its recent successes in the wireless chipset space and outlined a strategy for further growth.

Broadcom's major revenue growth driver so far has been the proliferation of its "combo chip" wireless connectivity solution, providing enabling technologies like Bluetooth, Wi-Fi, GPS, and NFC. The solution, Broadcom claims, gives them a typical ASP of US $6-8, which provides a healthy contribution thanks to Broadcom's strong marketshare. Moving forward, Broadcom is seeking revenue uplift from going after the combination baseband/applications processor/GPU market, which together with the wireless combo chip would yield to Broadcom a per-handset ASP of US$12-30. Indeed, Broadcom are already well on their way, and according to our Handset Component Technologies team, Broadcom broke into top-five smartphone AP chip supplier rankings during Q3 2011.

The first phase of Broadcom's long-term plan targets the low-end smartphone market, where Broadcom claims that its solution delivers better performance, dollar for dollar. In particular, Broadcom is targeting cost-sensitive Indian and Chinese microvendors, which are small individually but, according to our Wireless Device Strategies service, together represented about 1 in 10 handsets shipped worldwide during Q3 2011. Going after the low-end smartphone segment, we believe, is a wise decision. Indeed, according to our Wireless Smartphone Strategies (WSS) service, more than half of all smartphones will be priced below US$200 wholesale globally in just a few years.

The second phase of Broadcom's long-term plan will be to target the emerging LTE market. Indeed, we expect well over 100 million LTE phones to be sold during the next two years. Coupled with the technology's significantly above-average ASPs, makes it an attractive market for Broadcom to target.

Ultimately, the success of Broadcom's long-term strategy depends on their ability to gain design wins with microvendors and megavendors alike. The recent success of the Broadcom-powered Samsung Galaxy Y is an early indicator that initial momentum is in the right direction.

Alex Spektor
Wireless Device Strategies


December 14, 2011 11:28 nmawston

Strategy Analytics forecasts worldwide HTML5 phone sales will surge from 336 million units in 2011 to 1 billion units in 2013. HTML5 has quickly become a hyper-growth technology that will help smartphones, feature phones, tablets, notebooks, desktop PCs, televisions and vehicles to converge through cloud services.

We forecast worldwide HTML5 phone sales to hit 1 billion units per year in 2013. Growth for HTML5 phones is being driven by robust demand from multiple hardware vendors and software developers in North America, Europe and Asia who want to develop rich media services across multiple platforms, including companies like Adobe, Apple, Google and Microsoft. We define an HTML5 phone as a mobile handset with partial or full support for HTML5 technology in the browser, such as the Apple iPhone 4S.

We believe HTML5 will help smartphones, feature phones, tablets, notebooks, desktop PCs, televisions and vehicles to converge in the future. HTML5 will be a pivotal technology in the growth of a multi-screen, 4G LTE cloud that is emerging for mobile operators, device makers, car manufacturers, component vendors and Web app developers. With its potential to transcend some of the barriers faced by native apps, such as cross-platform usability, HTML5 is a market that no mobile stakeholder can afford to ignore.

However, despite surging growth of HTML5 phone sales, we caution that HTML5 is still a relatively immature technology. HTML5 currently has limited APIs and feature-sets to include compared with native apps on platforms such as Android or Apple iOS. It will require several years of further development and standards-setting before HTML5 can fully mature to reach its potential as a unified, multi-platform content-enabler.

The full report, Global HTML5 Handset Sales Forecast, is published by our Wireless Device Strategies (WDS) service, details of which can be found at this link: http://www.strategyanalytics.com/default.aspx?mod=reportabstractviewer&a0=6901.