WLAN White Paper

8/7/2019 WLAN White Paper

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Entering theMobile Data Mass Market

Public WLAN forMobile Network Operators

Contents

Executive summary 2

WLAN trends 2

Public WLANs 3

The WLAN arena: players and their assets 3

Public WLANs and mobile network operators 4

WLAN business models 5

Siemens public WLAN solutions 6

Conclusion 8

Abbreviations & references 8



Wireless LAN is on the rise.Its ascent is easily explained:Affording high-speed mobileInternet access, it is promptingever more users to opt fornotebooks with Wireless LAN(WLAN) network interfacecards (NICs) and driving de-mand for hotspot equipment.Many players are eager to seizewhat looks to be an attractivebusiness opportunity, particu-larly site owners, Internet serv-ice providers (ISP), applicationservice providers (ASP), wire-less Internet service providers

(WISP), and network operators.

Mobile network operators areat an excellent vantage point.With large customer basesand secure authentication andaccounting capabilities, theyare poised to make inroads inthe WLAN business. Keen tocapitalize on mobile data serv-ices, MNOs are disinclined totake a back seat to other play-

ers in a market deemed vitalto their future viability.

Siemens helps mobile net-work operators prosper in thismarket.To this end, Siemensprovides solutions supportinga variety of business modelsand partner ships with siteowners, content and serviceproviders, and others. Thisempowers MNOs to play astrategic role in the WLANmarket and determine theirlevel of commitment to it.

Siemens WLAN solutionsallow MNOs to leverage theirstrengths – relationships withscores of consumers, market-ing and billing experience,roaming capabilities – to en-trench their offerings on theswiftly growing public WLANmarket.

An MNO commits to WLANto exploit a working mobiledata environment, aiming togenerate revenues now anddiscern mobile data users’preferences for future offer-

ings. He gains valuable insightinto what the consumer wants,and he can reuse various serv-ice enablers, e.g. authorizationand charging solutions current-ly in place or projected for 2.5and 3G mobile data services.

Ease-of-use, effortlessaccess, convenient andsecure charging, and roamingcapabilities are crucial for

public WLAN rollout. MNOshave a track record for deliver-ing these capabilities to mil-lions of mobile subscribers,and that makes them users’WLAN partner of choice.

Siemens recommends AAAcoupling solutions becausethey:

minimize the effects onlegacy networks

maximize reuse of operatorinfrastructure and services,and

afford the best investment-to-benefit ratio.

A Wireless LAN is a radio-based local area network.Users connect to it via radiolink. The IEEE 802.11 (Instituteof Electrical and ElectronicsEngineers) standard specifiesthe technologies for WirelessLANs.

The majority of contemporaryWLAN equipment is based onIEEE 802.11b.This internationalstandard defines wireless com-munication in the license-free2.4 GHz ISM band betweennetwork interface cards (NIC)

and access points (AP) con-nected to a wired LAN or Inter-net access gateway. Productsbased on the new standards802.11g and 802.11a offerhigher bit rates ranging up to54 Mbit/s.

Markets

The Gartner Group [1] pro-fesses that 1.8 million access

points were installed in 2001,and expects growth rates ofsome 22% for the yearsahead.The sales figures fornotebook network interfacecards would confirm thisassessment. In 2000, only9% of notebooks sold wereequipped with network inter-face cards for WLAN. In 2003,every second notebook soldwill be WLAN-enabled; by2007, 90% of portable PCswill ship with WLAN networkinterface cards. [2]

– 2 –Entering the Mobile Data Mass Market

Executive summary WLAN trendsExecutive summary WLAN trends



WLAN figures prominently inthree market segments: Enter-prise WLAN augments legacyLAN infrastructure, while resi-dential WLAN connects homePCs to the Internet sans cables.However, public WLAN is sureto become the key segmentfor operators and many otherplayers. Mobile users want toconnect to the Internet at ho-tels, airports, exhibition, andconvention centers. Globe-trotting business users totingWLAN-enabled notebooks orPDAs need secure data links

to corporate servers; they arethe principle drivers of the pub-lic WLAN service offering. Busi -ness people demand broad-band wireless data access andare willing to pay premiumrates for premium services.

Sites

The demand for WLAN accessin public hotspots is on the

rise; so public WLAN serviceproviders first addressed lo-cations such as hotels and air-ports where specific user tar-get groups congregate.Thesecond wave of public WLANis likely to wash over publichotspots like pubs, coffeeshops, and barber shops.

Site owner incentives

WLAN is not a core businessfor most site owners.Theyprovide WLAN access as anadded service. For example,hotels offer WLAN accessalongside pay TV and conven-tion centers offer WLAN nextto fax and copy services.

Site Owners have little incli-nation to shoulder the burdensof an operator or ISP, forinstance, winning over sub-

scribers and providing work-able interfaces to the tens ofthousands of micro-WLANs.

User requirements

As the pundits of Analysys [3]put it, "Users need a reliablemobile connection that issecure and fast, and will en-able them to work as if in theoffice regardless of location."

WLAN users want no-muss,no-fuss access.Their prioritiesare ease of use and fast, se-cure, and reliable mobile con-nections. They want office-grade convenience, regardlessof location and without having

to register with sundry provid-ers. They expect services to beeasy to access and pay for.And they are loath to deal withcompatibility issues. Networkinterface cards, access points,and all other WLAN compo-nents must be standard-com-pliant mainstream equipment.

The driving forces of publicWLAN’s breakthrough:

The WLAN air interface op-erates in the license-free ISM(Industrial,Scientific,Medical)band. In most countries any-one can offer services aslong as access is restrictedto private premises.

All equipment required tooffer services is inexpensive,easy -to -install consumer gear.

Public WLAN operators –owners of hotels, coffee-shops, and the like – faceminimal risk. Up-front costsboil down to one or severalWLAN access points.

Today demand is greatestfor two bread-and-butterservices: straightforwardInternet access (by whichlegions of content providers

deliver virtually every serv-ice imaginable) and accessto corporate areas.

Challenges in the publicWLAN arena:

Competition is sure to befierce with so many playersvaulting into the market.

To date, few WLAN opera-tors are under pressure toactually make money fromtheir installed base becausethe service offering involvessuch little effort and cost.Many site owners’ offeringsare motivated by other con-siderations, say to win cus-

tomers’ loyalty or sell morecoffee. However, as Intranetaccess and business auto-mation tools grow moresophisticated, WLAN willmandate greater invest-ments to satisfy businessusers’ demands.

Authentication and chargingare indispensable in turningWLAN into a bona fide

business.

Supra-regional WLAN serv-ice offerings are in theirinfancy. Though the numberof WLAN installations isgrowing worldwide at abreathtaking pace, a majorplayer has yet to providenationwide public WLANservices.

Mobile network operatorshave a large customer base,strong customer relationships,marketing experience, andcharging and roaming capabil-ities.

Fixed network operatorshave a broad customer base,own the necessary backboneinfrastructure, and maintainbusiness relationships withmany site owners.

Internet service providersprovide Internet access to

public WLAN users.To this end,users must have an ISP ac-count with charging andauthentication capabilities.Many business travelers usea corporate account, sochances are that his providerand the local provider are notthe same.

Wireless Internet serviceproviders (WISP) are likely to

vault into the market withspecialized offerings, rushingto plant their footprint. Marketpundits believe that speed andexpertise in addressing poten-tial site owners will lend WISPsthe competitive edge.

WISPs try to combine therequired assets from the firstthree groups.

Site owners enjoy the exclu-sive right to set up WLAN intheir facilities. Due to theshort-range coverage there ishardly a way around them.They are likeliest to do this ina bid to make the site moreattractive, and owners ofsmall sites will be inclined tooutsource IT equipmentinstallation.


Public WLANs The WLAN arena:players and their assets

Public WLANs The WLAN arena:players and their assets



The ascent of WLAN coincideswith third-generation mobilenetworks rollout. This hassparked debate over how theywill affect each other. Marketanalysts hold that public WLANis a mobile data offering bestprovided by mobile networkoperators. Most mobile net-work operators see WLAN asa complement to 2.5G/3G andare eager to seize mobile databusiness for themselves.

The notion of WLAN as a com-plement holds currency: Public

WLAN access is the soledomain of notebook-like dev-ices. Even if UMTS operatorselect to serve all traffic gener-ated by notebook users inhotels, conference zones andairports, the impact on 2.5and 3G revenues will be rea-sonable. On these grounds,WLANs clearly augment2.5G/3G.

WLAN vs. cellular networks

One big difference betweencellular networks and WLANis the future market develop-ment. While competition in thecellular networks arena is lim-ited owing to the finite num-ber of licenses, public WLANis not subject to this restriction.This means the only way toachieve significant coverage isto collaborate with site owners.

Table 1 looks at the differ-ences between WLAN andcellular technologies.

Authentication and charging incurrent WLAN offerings are in-convenient.This makes a goodcase for mobile operators toventure into this business. Inaddition, roaming capabilitiesare sure to play a pivotal rolein the success of WLANofferings.

The pressure on MNOs togenerate significant revenuevia data-related services is ris-ing. Some analysts contendthat WLAN could siphon offup to 7% of expected UMTS

mobile data revenues in 2007.Both factors compel MNOs tostake their claim in this mar-ket. In the words of the ana-lysts at Booz, Allen, Hamilton,"Bold moves are likely to bestrongly rewarded."

Getting started:The MNO requires a solutionallowing him to begin offeringservices immediately without

having to install a single accesspoint. MNOs will compete ona playing field where third-party WLAN access providersalready serve many of themost attractive sites and op-erator context is negligible at

best.This solution must inte-grate the MNO’s offering intothese sites without compellinghim to invest in deploying ad-ditional access points.

Reuse:To begin providing WLAN serv -ices, MNOs must introducenew equipment that also sup-ports GPRS and UMTS net-works or reuse authenticationand charging capabilitiesalready in place for millions ofsubscribers and roaming users.The latter option makes the

WLAN market an even morepromising business proposi-tion.The same holds true forinvestments in public WLANcharging and authenticationcapabilities that can be reusedfor mobile data services in2.5G and 3G cellular networks.

Reuse ensures that from dayone, all networks have accessto authentication and charging

functionality. Package dealsand bonus programs make theoffering even more attractive.

Early adoption, head-start inexperience:Mobile network operators candeliver a range of mobile dataservices via WLAN and com-mon IP technology to assaythe market and gain insightinto user preferences. Andthey can do this while offering2G, 2.5G, or 3G services andreusing installed equipment.

WLAN offers a host of appli-cations and services that canbe leveraged at very low costto familiarize consumers with

mobile data services, test ap-plications, and assess con-sumer acceptance and marketconditions.This information willprove invaluable when it comesto rolling out mobile dataofferings in cellular networks.

WLANs cater to innovators andearly adopters in the consumermarket segment, paving theway for full-fledged UMTS net-

works.They can also lightenthe data load of GSM andGPRS networks, sparingcapacity for voice traffic.Thisprevents confusion, avoids un-wanted competition, and pro-tects future UMTS revenues.


Public WLANs and mobilenetwork operators

WLAN Cellular (UMTS / GPRS)

Environment hotspots, primarily indoors scalable to all environments

Coverage sometimes, somewhere all the time, everywhereSpectrum unlicensed, general use licensed, public service

Usage / control mutual coordination exclusive ownership

Services data (+ voice over packet) telephony and data

Data range fast (serveral mbps) moderate (several 10/100 kbps)

Range limited to 10/100 meters scalable up to several kilometers

QoS best effort, load sensitive (as in LAN) planned and managed

Mobility nomadic use, session mobility full mobility, seamless service

System focus wireless data access (Internet / Intranet) integrated telco architecture

System cost low cost, low entry barrier high cost, lifetime guarantee

Pricing scheme free / bundled / one off / prepaid telco model

Table 1: Differences between WLAN and 2.5G/3G cellular technologies

Public WLANs and mobilenetwork operators



Mobile network operatorshave the edge over otherplayers:

MNOs are ready and able toaddress customers. Almostall users of WLAN-enabledlaptops have mobile phonesand contracts with MNOs.This puts MNOs in a perfectposition to extend theirauthentication and chargingcapabilities and branch outinto the WLAN businesswith ease.

Consumers see MNOs asthe leading providers ofmobile data services.Theopportunity to capitalize onbrand name and valueknocks.

MNOs have the roamingprocesses and infrastructurefor authenticating users andcharging for mobile dataservices in place or are

poised to provide thesecapabilities for GPRS andUMTS.

MNOs can make the mostof their unique billing capa-bilities.

Key success factorsfor MNOs

Charging and authenticationare the keys to transformingpublic WLAN from a cour-tesy (as prevalent in the US)to a business. TravelingWLAN users require unifiedauthentication and charging;MNOs’ experience with cel-lular networks attests totheir abilities to deliver it.

The existing customer baseis a tremendous advantagefor MNOs.

The MNO must address all his customers and, bymeans of roaming capabili-ties, other operators’ cus-tomers. MNOs know howto do this

MNOs have wide-rangingexpertise in partnering withservice, content, and appli-cation providers.

By reusing installed equip-ment or equipment project-ed for 2.5G and 3G dataservices, the MNO canaddress a much broaderconsumer group, drivingdown costs per user. Thisalso facilitates cooperationwith content and servicepartners because cellularnetworks and WLAN dataservices share uniform APIs

and interfaces to chargingand authentication systems.

The hotspot operator runsthe local equipment; the bro-ker provides hotspot roamingto users and site-sharing toservice providers.The serviceprovider delivers services andcharges end-users for them.The service provider is theonly player who maintains arelationship with the end cus-tomer. Various players can as-sume varying combinations ofthese roles – site owners,content and service providers,brokers, network operators,and others. Though public

WLAN offerings engender avariety of business modelsand value chains, site ownerstake center stage; there is nobusiness proposition withoutthem.

There are three basic business models for MNOs:

Minimum involvementmodel

The MNO provides services.He leverages his authentica-tion and charging capabilitieswithout getting involved inthe vagaries of the publicWLAN business. He also con-nects hotspots or brokers togain access to multiple sites.

Smart model

The MNO also assumes therole of a broker, exploiting hisexperience in roaming andinter-carrier billing.The hotspotoperator has nothing to gainfrom setting up multiple con-nections, so the business re-lationship is exclusive.TheMNO provides equitableaccess to other service pro-viders and their end users. Ifa site is not amenable to thisexclusive option, the MNOcan fall back on the minimum

involvement model and bene-fit from another player’s bro-kering service.

Cellular model

The MNO is the hotspotoperator and service provider;the broker role is optional.Thecellular model is workableonly if the MNO assumes therole of the broker and serves

other service providers’ cus-tomers.


WLAN business models

Service Providers

A

B

C

Hotspot Operators Brokers

Cellular Model

MinimumInvolvement Model

Smart Model

BrokerA

Figure 1: Business models for mobile network operators

WLAN business models



WLAN solutions must allowMNOs to determine the levelcommitment in terms ofinvestment and risk.

Our solutions support differentarchitectures with varyinglevels of MNO involvement.They en able mobile networkoperators to start up at a lowlevel of involvement andadapt according to evolvingbusiness conditions.

The various roles’ work splitdetermines the architectural

model (Figure 2) .

The examples cited in the tablehighlight just a few of themany possibilities. A detailedlook at them follows (Table 2) .

Charging layer coupling

In this scenario, the MNOprovides payment services toWLAN operators (Figure 3) .From the MNO’s perspective,the WLAN provider is an un-trusted merchant.

The site owner or hotspotoperator runs WLAN hotspots,providing technical facilitiesand authentication capabili-ties. The mobile networkoperator delivers mobile sub-scriber charging capabilities

to hotspot operators.Thissupport comprises authoriza-tion for prepaid and postpaidsubscribers, basic rating capa-bilities, and event-based charg-ing via Payment@vantage /Charging@vantage in combi-nation with the OMIP PaymentGateway or a wallet.The newcharge@once solution is de-signed to provide a comprehen-sive set of charging tools in a

single product, including eventcharging, full rating capabilitiesand account management.

The architecture:The hotspot operator providesaccess points, access gate-ways, and authentication capa-bility via an AAA server. Themobile network operator pro-vides the payment or chargingsystem; a payment plug-in inthe AAA system connects itto the hotspot.

How this works:The user powers up his laptopat the WLAN hotspot. Once aradio link is established, theconsumer device receives an

IP address.The user launcheshis Internet browser and sendsan initial HTTPS request. Thesite owner’s login page ap-pears; the user logs on. If hedoes not have a password, heenters his MSISDN to theWLAN login page and receivesone via SMS.The login alsoaddresses the charging sys-tem, launching the eventcharging service. An HTTPS

message informs the userthat he is logged in and beingcharged for WLAN access.

Our product Payment@vantage delivers event-chargingcapabilities. In combinationwith a wallet server, it alsohandles non-telco paymentmethods such as creditcards.The MNO providesconvenient postpaid and pre-paid telco payment optionsfor WLAN services to his cus-tomers. Note that the opera-tive word here is his .

Benefits:The MNO gets his foot in thedoor while holding his level of

involvement, financial risk, andimplementation costs low.He can opt to reuse legacyequipment or invest in equip-ment for 2.5G and 3G mobiledata services. Either way, hecan start charging forWLANservices now.

Supported business models:This architecture supports theminimum involvement model

only because roaming paymentcapabilities have yet to berealized. It cannot underwritebrokering services.


Figure 3: Siemens solution for charging layer coupling

ChargingServer

WLANAAA Server Payment@vantage,

OMIP Payment GatewayCharging@vantage

Hotspot Operator Mobile Network Operator

AccessGateway

LocalPortal

Terminal AccessPoint

Internet

Siemens public WLANsolutions

Payment/Charging

Authentication

Charging LayerCoupling

AAACoupling

PayloadCoupling

Tasks

Access Control +Internet Access

Radio Access +

Operation

ServiceProvider

ServiceProvider

ServiceProvider

Brokering

Brokering

Brokering

HotspotOperator

HotspotOperator

HotspotOperator

Worksplitbased on

Payment Plugin

Radius

Payload Routing

Figure 2: Roles and architectural models

Table 2: Combinations of architectures and business models

Business Model Minimum Involve- Smart CellularArchitecture ment Model Model Model

Charging Layer Coupling – –

AAA Coupling

Payload Coupling

Siemens public WLANsolutions




ChargingServer

ChargingServer

Payment@vantage,Charging@vantage

Hotspot OperatorMobile NetworkOperator

LocalPortal


Internet

AAA Server/Proxy

AAAServer

Mobile SessionManager

OtherMobileNetworkOperator

AccessGateway

AAA Server

Figure 4: Siemens AAA coupling solution

AAA coupling– authentication, authori-zation, accounting

This architecture also providesauthentication capabilities, em-powering the MNO to authen-ticate and charge users, pro-viding total access manage-ment service to WLAN opera-tors. He is able to charge hiscustomers and relay serviceproviders’ customers’ authen-tication and charging requeststo third party serviceproviders. In other words, he

may also assume the role ofa broker.

The architecture:

The hotspot operator providesaccess points, an access gate-way, and an AAA proxy. Themobile network operator runsan AAA system connected tothe subscriber database andprovides roaming, charging,and other services.

How this works:The user boots his laptop atthe WLAN hotspot. A radiolink is established, and an IPaddress is assigned.The userlaunches his Internet browserand sends an initial HTTPSrequest.The site-specificlogin page appears; the userlogs on. If he does not have apassword, he enters hisMSISDN to receive one via

SMS. His credentials are sentvia Radius protocol to theMNO’s AAA system.Charging his own customersthe MNO verifies his users’credentials by referencing hisuser repository. Once theuser is verified, a chargingrequest is sent to the opera-tors’ charging system andWLAN access charges arebilled to the user’s telcoaccount. For third party cus-tomers, the MNO relaysauthentication information tothe given third party’s AAA

system.

In addition, he may providevoucher-based access andcharging capabilities for con-sumers without mobilephone accounts.

Benefits:AAA coupling enriches theMNO’s charging support withauthentication services.

Because AAA roaming is pre-valent among ISPs and manyusers may wish to use theirISP account for Internet ac-cess, this enables the MNOto address users who maintainnon-telco accounts.

Upshot:This architecture supports allaforementioned businessmodels. Offering the best mixof business flexibility and

return on effort, this architec-ture comes highly recom-mended.

Payload coupling

In this scenario, the MNO pro-vides transport alongsidecharging and authenticationservices. All public WLANtraffic is routed via the MNO’snetwork and his transport net-work provides Internet access.Utmost flexibility in chargingand a high level of securityare assured because the

MNO’s signaling interfacesare not exposed to untrustednetworks.This option man-dates far greater involvementand investments on the partof the MNO.

The architecture:The hotspot operator providesthe access points, the MNOthe access gateway, authenti-cation, and payment or charg-

ing system.Traffic is routedvia the operator’s IP network.

How this works:As in the case studies describ-ed above, the user establishesa WLAN radio connection, isassigned an IP address, launch-es his Internet browser, andsends a HTTPS request. Alogin page appears; the userselects the MNO for servicedelivery via HTTPS. He is redi-

rected to the MNO´s loginpage and logs on. His creden-tials are transferred to theMNO´s AAA system and veri-fied there. Once the user islogged in, the MNO’s homepage appears and contentdelivery and billing getsunderway.

Benefits:Payload coupling affords theMNO the greatest flexibilityin charging, enabling him toprovide service-differentiatedcharging for Internet browsing,

MMS and the like.Third partyinvolvement is minimized; theMNO does not have to contendwith untrusted signaling inter-faces.

The MNO’s network is thetransport medium, so hiscommitment to the WLANbusiness is considerable.Thisbusiness model does notensure access to all pertinent

WLAN hotspots.

Supported business models:This architecture supports allaforementioned businessmodels. Roaming is providedeither by forwarding the com-plete payload as is customaryfor GPRS or by connecting anAAA coupling link to second-ary service providers to estab-lish RADIUS-based roaming.

ChargingServer

ChargingServer

Payment@vantage,Charging@vantage

Hotspot Operator Mobile Network Operator


AAA Server/Proxy

AAAServer

Mobile SessionManager

OtherMobileNetworkOperator

AccessGateway

Internet

Figure 5: Siemens solution for payload coupling



Abbreviations

3G 3rd Generation [mobile networks] ...AAA Authentication, Authorization, AccountingAPI Application Programming InterfaceARPU Average Revenue Per UserASP Application Service ProviderETSI European Telecommunications Standardization

InstituteGPRS General Packet Radio ServiceGSM Global System for Mobile TelecommunicationsHLR Home Location RegisterHTTP Hypertext Transport ProtocolIEEE Institute of Electrical and Electronic EngineersIETF Internet Engineering Task ForceIN Intelligent NetworkISM Industrial, Scientific, Medical; a worldwide

available license-free frequency band around

2.4 GHzISP Internet Service ProviderLAN Local Area NetworkMNO Mobile Network OperatorMSISDN Mobile Subscriber ISDN NumberNIC Network Interface Card; WLAN card for note-

booksPDA Personal Digital AssistantRADIUS Remote Authentication Dial-In User ServiceSIM Subscriber Identification ModuleSMS Short Message ServiceUMTS Universal Mobile Telecommunications System

URL Uniform Resource LocatorVLR Visitors Location RegisterWISP Wireless Internet Service ProviderWLAN Wireless Local Area Network

Order No. A50001-N3-P113-2-7600 • Printed in Germany • D02303M 05031.5 • © Copyright • Siemens AG 2003 • Information and Communication Mobile • Networks • Hofmannstr. 51 •81359 Munich • Germany • This publication is issued to provide information only and does not form part of any order or contract.

The products and services described herein are subject to availability and to change without notice. Information contained in this document is subject to change without notice.Allother trademarks or registered trademarks are properties of their respective owners.All other companies, product or service names referenced in this brochure are used for identifi-cation purpose only and may be trademarks of their respective owners. Data and/or information used in screens and samples output are fictitious unless otherwise noted.

Any statements in this document that are not historical facts are forward-looking statements that involve risks and uncertainties; actual results may differ from the forward-lookingstatements. Siemens AG undertakes no obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect events or circum-stances after the date hereof or to reflect the occurrence of unanticipated events.

References

[1] Gartner Group: Gartner Research Brief – March 11,2002. Wireless LAN Market Set for Strong GrowthThrough 2005.

[2] Gartner Dataquest: Wireless LAN Equipment:Worldwide 2001 – 2007. August 2002.

[3] Analysys: The WLAN Opportunity for Wireless ServiceProviders. May 2002.

Siemens’ track record in thefields of 2G, 2.5G and 3Gspeaks for itself, and our ex-pertise in mobile applications,end devices, and infrastructureservices has been substanti-ated countless times. Ourskills, insight, and turnkey solu -tions support MNOs in thevital market of mobile data.

Now we are able to providecomprehensive WLAN solu-tions to mobile network oper-ators. They allow MNOs tochoose the WLAN business

model that suits their strategybest. Siemens’ evolutionaryapproach enables MNOs tostart up with a low invest-ment and level of involvementand extend their share of theWLAN value chain as desiredand deemed necessary.

Our concept calls for us topro vide solutions and serviceenablers for all breeds ofwireless networks. This bene-fits network operators by per-mitting them to reuse legacyenabling services such asauthentication and charging.This spares capital, drivesdown operating expenses,and enhances efficiency inserving all mobile data appli-cations.

Our combination of 2.5G, 3Gand WLAN offerings makes

us the first choice for MNOswho see WLAN as a technol-ogy that complements ratherthan competes with 2.5G and3G, and an excellent opportu-nity for paving the way tomass market mobile dataservices.

WLAN by Siemens – USPs

It enables MNOs to capitalize on the existing customerbase and relationships by extending their offering pain-lessly with WLAN mobile data services destined tobecome key market catalysts and educative tools forfuture wireless data services.

It endows WLAN with charging and authentication func-tionality, providing a wide range of rates – including meteredlogin time for events and sessions, flat fees, and volumemetering – as well as the means to combine rates andenrich the offering with bundles and bonus programs. At-tractive rates and bonuses are decisive competitive factors.

It supports various business models, allowing mobile net-work operators to determine their role and level of involve-ment in the WLAN business. Our solutions also empowerMNOs to take an evolutionary approach, building fromminimum involvement all the way up to the cellular model.

Conclusion

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Conclusion

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