The study, The Potential for Small Cells Infrastructure-as-a-Service in the U.S., sponsored by Cisco, Intel, and SpiderCloud was published by iGR last week. If you think back, it was not that long ago that Enterprises were not only unaware of Small Cells, but there was little drive to improve mobile services indoors beyond Wi-Fi upgrades. This study clearly illustrates the awareness of Enterprise IT leaders willingness to move to managed services, and the need to enable mobile devices to be fully functional indoors. For those in the Small Cells market for more than a few years, the results shared in the study are phenomenal in that Enterprise awareness of the technology is minimally 50% across the different sized firms responding to the study.
More importantly, the results of Interest in Enterprise Small Cell Solutions as a Managed Service question (page 17) point to a significant amount of Enterprise IT people willing to participate in funding a resolution to their poor indoor mobile coverage and capacity. For firms of 5,000+ employees, 30% are interested, with an additional 40% neutral. If we assume that neutral means “our enterprise could potentially fund this, if the price is right”, the Total Addressable Market of Enterprises who could fully or partially fund their indoor RAN deployment is potentially 70%!
We are seeing the continued acceleration of the move to a mix of managed services as the foundation of Enterprise communications. The willingness of Enterprises to entertain the family of IaaS offerings, as called out in this study, illustrate the shift from just a few short years ago when Enterprise IT leadership wanted to buy, build and run everything inside their data centers. One of the core factors that the study also calls out is the need to provide much direct control and reporting to the enterprise as part of IaaS platforms. From the study: “To an IT manager, the phrase managed solution means that they retain some control, and have a secure environment while benefiting from a solution that reduces IT Overhead and capital expense.”
In the competitive business environment we live in today, IT leaders are being challenged to invest both capital and salary funds into initiatives that yield competitive advantage. For IT services that every corporation must have to operate, they are judged as commodities by most CIO’s compared to vital Line of Business systems such as the Supply Chain environment.
In case you missed it, a few posts we have done on Enterprise mobility trends:
- Mobile as the Foundation for Enterprise Innovation – Discussing how mobile devices and operating systems have fundamentally enabled a new generation of “commoditized innovation” where cost hurdles have been removed by the price point of mobile Apps.
- Mobility 2020: The Transition from a Wireless to a Mobile Enterprise as IT spending moves from 80% Capex to 80% Opex – The outcome of the transition from wired and wireless at work, to always-mobile connected to the enterprise IT infrastructure at work or on-the-go.
Enjoy the study. It’s great to see that Small Cells have broken through into the thought processes of so many Enterprise IT people who must supply fully functional wireless communications environments to their clamoring employees.
– Art King, SpiderCloud Wireless, Director of Enterprise Services & Technologies