NEW YORK-Within the next few months, Hewlett-Packard Co. expects to open its first United States-based “Mobile Bazaar,” a facility that provides free space, technical expertise and computer hardware to wireless applications developers.
Since last year, HP has opened similar sites in Finland, Singapore, Malaysia, Japan and China.
“Our competitors are doing the same thing in order to bring applications to light much faster,” said Mike Hegeman, director of wireless North America, based in Alpharetta, Ga.
“Carriers have enough problems keeping up their networks. HP is working closely with them to create new revenue streams. We have wirelessly enabled USA.net’s messaging network and are doing many such deals because we believe in the importance of application service provision to networks. We are (all) in the ground-breaking stage for the wireless ASP segment.”
Nevertheless, Hegeman acknowledged that he views the North American market as the toughest testing ground for winning wireless applications for several reasons. For one thing, incompatibility among varied network technologies has “impeded the progress of mobile telephony compared with other geographic regions,” he said at the recent Telecom Business 2000 Conference and Expo.
“Carrier egos will keep the waters muddied for a long time because everyone wants to own the world. … In Europe, there is a test of GPRS (General Packet Radio Service), but who will test GPRS in the U.S.?”
WAP, a mark-up language and application environment for thin clients, also known as mobile devices, poses its own set of opportunities and challenges.
“What’s nice about WAP is it is an open, global specification empowering mobile users to easily and instantly access and interact with information and services,” Hegeman said.
Hewlett-Packard is engaged in the WAP server business in partnerships with Nokia Corp. and Tantau Software of Austin, Texas.
“The No. 1 concern about WAP is security, and this presents a tremendous opportunity for HP to put the WAP server and to build wireless apps behind our fire walls,” he said.
“Today, WAP is hot, but my personal opinion is that there will be other protocols to supersede it in the next 12-18 months. As networks evolve, protocols will too. We also are seeing people take a different approach to phone screens, like NeoPoint in San Diego which came out with a 16-line screen.”
The habits and interests of North American wireless customers also pose a challenge for wireless data application developers.
“The expectation of North American consumers is not the same as the Europeans, who like short message service, or of Asians, who value the ability to gamble,” Hegeman said.
Hewlett-Packard and Swatch Watch of Switzerland are wagering that Asian consumers will place bets via Internet-enabled wristwatches, which they soon will introduce.
“Swatch and HP will become additional, large distribution points for wireless carriers,” he said.
This is just one example of the potential of “branded scenarios” that will expand outlets for and usage of wireless data services, Hegeman added. The vision is that people will select a co-branded mobile device as part of a lifestyle suitability choice. Prepaid services and airtime will be bundled with the unit. Ultimately, the hope is that voice communications will become a second priority choice point in consumer purchase decisions.
In the North American market, however, the process of discovery is less complete as to what kinds of wireless data applications will make ordinary people value them for the positive change they bring to daily life. So far, it has been a situation of learning what people do not want, rather than what they do.
“WAP usage in the consumer environment is not that positive. People need more than horoscopes and sports. These don’t change the way they live,” Hegeman said.
“But in the business-to-employee and business-to-enterprise, wireless data does change the way people work. The short-term focus is on B-2-B and B-2-E.”
