There will be a demand for over 70 million units of notebook PCs with built-in mobile broadband in the price band of $500 -$1000 in 2008, according to a GSMA study. This demand is estimated at $50 billion by GSMA (http://www.gsmworld.com ), the global trade association for the mobile industry. GSMA and Microsoft (News - Alert) jointly initiated the study into mobile broadband computing, which was conducted by Pyramid Research. The study identified the huge addressable - but currently untapped – market.  

 

According to the research, there is a gap of potentially 46.5 million units between recent

industry analyst forecasts and the new analysis. It also found that the PC manufacturers have yet to deliver the right mobile broadband PCs - bundled with pre-configured mobile connectivity - to appeal to mass-market PC buyers.

 

Pyramid Research conducted the study involving more than 12,000 consumer interviews across 13 countries, with input from notebook manufacturers, component companies and chip set suppliers as well as more than 200 field trials.

 

"With the right form factor, price and 'out-of-the-box' connectivity, the research has unearthed substantial demand for mobile broadband embedded notebooks that is not yet being met," said Rob Conway, CEO of the GSMA. "Now that we understand the market potential and consumers' requirements, we are pleased to communicate the findings to the broader industry eco-system."

 

"Microsoft is pleased to be working with the GSMA to accelerate the adoption of PCs with built-in mobile broadband", said Will Poole, corporate vice president of the Unlimited Potential Group at Microsoft. "By quantifying and characterizing PC market demand, it is our hope that mobile operators and OEMs will collaborate to introduce compelling and affordable notebooks with innovative new services. We believe that people everywhere, in both developed and emerging segments, could benefit from access to the Internet through mobile broadband on a wider range of notebook PCs."

 

Leading PC manufacturers, including Asus, Dell, Fujitsu Siemens (News - Alert), Lenovo, Twinhead and Vestel have welcomed the research report and expressed interest in working with mobile operators and the GSMA to fulfill this market demand.

 

The study results are expected to trigger a series of developments in the industry. As mobile operators will be busy in examining ways to reach potential subscribers, the GSMA and many of its largest operator members are launching a competition to identify devices and manufacturers able to serve the untapped market.

 

GSMA asked Notebook manufacturers and OEMs (Original Equipment Manufacturers) will be asked to propose new designs that can meet this currently unmet need for mass-market priced mobile broadband notebooks. GSMA will showcase the winner of the new PC design at the wireless industry's largest global gathering - the Mobile World Congress in Barcelona, Spain, in February 2008.

 

"We are announcing this competition as a challenge to the world's manufacturers to help us meet this untapped mobile broadband demand," added Rob Conway. "And we are delighted to see Asus, Dell (News - Alert), Fujitsu Siemens, Lenovo, Twinhead and Vestel gearing up to anticipate the needs of this market."

 

Twelve mobile operators supported and participated in the GSMA/Microsoft market research program, including: DTAC, Maxis, MTN, Orange, Smart Communications, Telecom Italia, Telefonica O2, TeliaSonera, Turkcell, Vimplecom, Vodafone (News - Alert) and Wind.

 

 

- In 2008, the survey estimates total demand of 79.5 million notebooks in the high growth, mass market $500 - $1,000 price range

 

- The survey indicates 88% of consumers planning to buy a notebook in this price-range would prefer mobile-broadband built-in to notebooks to their original choice

 

- In 2008, OEMs are planning to ship some 33 million notebooks in this price range, only a fraction of which will be mobile-broadband ready

 

 

- While most usage is in the home, the majority (78%) of respondents citied at least two other locations where they regularly used their notebooks

 

- The majority of potential buyers prefer the simplicity of a notebook with embedded mobile broadband. Separate 'plug in' solutions found favor with just 15 per cent of respondents

 

- 75% of consumers plan to buy notebooks in 9" to 15" range - very small or very large form factors are not driving purchasing influences

 

- 60% of consumers now want to buy a voice and data package from an operator with a mobile broadband notebook

 

- 57% of the demand comes from emerging Asia Pacific geographies, 15% from North America and 11% from Western Europe.