The term Wi-Fi was first used in 1999. Wi-Fi as we know it today is scarcely 20 years old, yet in that time it has become all-pervasive. In the modern home, Wi-Fi is the technology that, increasingly, binds everybody and everything. Its usage has extended from simple internet connectivity, through entertainment to a host of advanced smart home applications.
In a survey Nokia ran earlier this year in the US, 89% of the respondents rated Wi-Fi as important or very important to their household. Accordingly, broadband service providers need to stay ahead of in-home connectivity trends to make sure their services continue to meet expectations.
The most obvious trend is the growth in video streaming services like Netflix, Amazon Prime, and the recently announced but eagerly-awaited (at least by my kids) Disney service. Video from all sources already accounts for 58% of downstream traffic and, by one account, it will grow to 82% by 2021 as 4K TV supersedes HD and 8K gets more traction.
Augmented and virtual reality are also making inroads. Analyst firm IDC predicts a 52.5% annual growth rate for AR/VR through 2022. Nokia’s bandwidth modeling tool shows that the addition of a single VR device would take a household’s peak bandwidth requirements from 45 Mb/s to 275 Mb/s.
And of course, we’re being told that every device in the household these days should be internet-enabled. According to Strategy Analytics, worldwide consumer spending on smart home devices, systems and services will grow to $155 billion by 2023.
A growing number of devices demanding more and more bandwidth is one thing. But service providers also need to contend with increasing congestion in our airwaves. Interference from other Wi-Fi networks, from other wireless technologies, and interference-creating equipment like microwave ovens, makes it harder to provide a quality connection. Currently, about 30-50% of calls to a service provider’s helpdesk are related to Wi-Fi, with each call taking 20-30 minutes to resolve.
With the trends we’re seeing, this is likely to get worse. So, by focusing on the in-home Wi-Fi experience, broadband service providers can increase customer loyalty, reduce churn, and reduce their operating costs.
Nokia has been developing and selling Wi-Fi devices for many years. Earlier this year we acquired Unium for its best-in-class mesh networking algorithm, which is now integrated into our latest WiFi solution.
Our solution distinguishes itself from your average Wi-Fi product through a Home Portal app that gives your helpdesk agents a holistic view of your customers’ networks, helping them quickly identify and resolve any issues. Home Portal also brings insights that create upsell opportunities.
Its intelligent mesh capabilities provide the best-ever coverage. It detects any type of Wi-Fi or non-Wi-Fi interference while analytics and machine learning provide self-healing, self-learning and self-care functions that maximize performance.
Our solution is so advanced, so sophisticated, that we estimate it could earn you €385 million over 5 years. That’s not a typo.
Customers have a greater choice than ever before and are willing to switch broadband providers to get what they want. They also have a greater voice; it’s easier than ever to raise grievances in public channels. Yes, there are the financial advantages to decent in-home Wi-Fi through OPEX savings, but a happy customer is an advocate to others, leading to reduced customer churn and increased revenues.
And Wi-Fi is, increasingly, the key to their happiness.
To learn how to create your own superlative in-home Wi-Fi experience that sets your broadband free, visit our website. Watch a video how easy it is to install and configure the Nokia WiFi solution.
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