Enterprise Small Cells are Measurably Visible Now

August 17, 2015

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:

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

Twitter: @EMobilityInside
Visit our Enterprise IT site @ http://SpiderCloud.com/EInsider

If You Can Scale…Cloud and Managed Services $ Will Come

June 1, 2015

Next week, the Small Cell community once again gathers in London at the annual Small Cells World Summit. This year is special for us! We are, for the first time, showcasing how edge and cloud computing enable new Smart Building and Unified Communications managed services for enterprise customers in collaboration with our new partner Cisco.

Game Changer #1: SpiderCloud + Cisco + enterprise installed base of Wi-Fi

At MWC this year, Cisco and SpiderCloud announced a strategic collaboration. Cisco is now reselling our entire (easy to install) small cell portfolio under the USC 8000 Series brand. The Cisco USC 8000 Series access points are available as standalone units, or as plug-in modules for the Cisco Aironet 3600/3700 Wi-Fi access points using SpiderCloud’s technology. The plug-in radio module is a game changer! Now, the entire installed base of Aironet 3600/3700, inside enterprises across the globe, can be 3G+4G enabled in seconds (the time it takes to plug in the module) – something no other vendor can do.

Game changer #2: Services Collaboration!

For many years we have showed how our Services Node is a catalyst for services. An on-premises controller (Services Node), with a services module, can enable managed cloud and application services beyond basic coverage and capacity.

We have been working with leading companies to show use-case examples:

  • IBM for handset-to-location video, and advertising “push” services for use at venues and shopping malls.
  • HP and Vodafone UK for in-building location (which won us all an award from the Small Cell Forum in 2014).
  • Intel/McAfee for policy enforcement and identify and prevent network security threats at the edge.
  • Saguna for backhaul savings and user experience benefits using a centralized content cache.
  • Druid and Tango for extension of enterprise UC, PBX and mobile call services inside and outside the enterprise network. See Druid’s hospital use case.

Ken Rehbehn (Principal Analyst, 451 Research/Mobile) puts this into context:

“Enterprises recognize the strategic importance of mobile communications as a tool for business agility and efficiency, but simple in-building coverage and capacity fixes may not be sufficient. By augmenting in-building small cell mobile services with flexible mobile edge computing capabilities, enterprises gain a potent toolkit to get the most value out of smart building and Unified Communications applications.

Next week, at the Small Cells World Summit, we will provide further insight to how the Services Node drives services revenue beyond coverage and capacity:

  • How – the mobile device IMSI can be paired to the enterprise active directory for authentication, as well as provide broadcast alerts within the building where the controller is deployed.
  • How – Smart building operations benefit from mobile devices to improve zone heating and air-conditioning usage by monitoring the number of mobile devices and location within the building or campus.
  • How – you can improve building security access by using mobile devices as secondary identification and verification to building badge access.
  • How – the small cell system can enable location and context aware services and execute building-wide alerts to all mobile devices connected to the LAN.
  • How – compliance services can be enabled with policy filtering and identify and prevent mobile LAN network access to non-compliant web sites.
  • How – you can improve network security by blocking malicious packets sent by a mobile device within the LAN, and protect a device from malicious packets sent by a server on the Internet.

Game Changer #3 Services Revenue

The great majority of large businesses would pay over 30% more per-employee for an indoor cellular solution with managed services (iGR survey).

With our eco system partners, and now Cisco, a scalable small cell system deployed over a basic Cat5e LAN (or VLAN), can indeed open up a $100B services market with smart building and Unified Communications (Exact Ventures report).

SpiderCloud’s scalable small cell system provides real-time coordination and distributed SON capability up to 100 dual-band 3G+4G or 4G+4G access points (up to 200 sectors of capacity), enough to effectively offer reliable managed services for buildings and offices up to 1.5 million square feet.

DAS is no-go on Services

Unless you have IT funds like Google and Apple, managed cloud and applications services is a no-go. As we pointed out in the “DAS is D.E.A.D (as we knew it)” blog, and our blog about Ericsson Radio Dot (a year later), enabling services beyond coverage and capacity for DAS-based systems is simply a non-starter.

Our scalable small cell system technology is in use with América Móvil/Telcel, Avea, Verizon, Vodafone UK and Netherlands and Warid Telecom, among others.

See us at Small Cells World Summit next week (June 9-11 in London), or look for us at these upcoming events:

Keep in mind that if you have an IT-friendly and scalable small cell system, you can enable cloud and managed services to increase ARPU.

Ronny Haraldsvik
SpiderCloud Wireless
Twitter: @haraldsvik

A Breakthrough Year!

December 23, 2013

2013 was the year industry momentum for small cells in the enterprise really kicked off. The year was clearly marked by operator deployments, Small Cell Forum’s significant focus on enterprise needs, and industry award recognition for SpiderCloud’s work on scalable small cell systems and LTE.

As we look back, 2013 is the year the industry agreed to solve Enterprise requirements for reliable coverage and capacity. After all, research conducted in the US, UK, Germany and Spain by YouGov, a market research firm, revealed that over 61% of IT decision makers from businesses in the US, with over 250 employees, said their business has had major issues with indoor coverage. In Germany this stood at 50%, in Spain it was 43% and in the UK it was 39%.

The industry’s focus on enterprise small cells led to 10 notable ‘events’

  1. Exact Ventures releases its report outlining the revenue opportunity for mobile operators – and cost savings potential for enterprises. Enterprise managed mobility services to exceed $100B by 2020.
  2. Cisco bought Ubiquisys and targets the “Pub market” (under 50 subs) with its most expensive and high-end large enterprise Wi-Fi Access points ($1500-1800) with a “strap-on” 3G or 4G module.
  3. Small Cell Forum awards Vodafone and SpiderCloud for innovation in scalable small cell system for medium to large enterprises. KPI data release unveiled performance reliability of the E-RAN system of 99.5 percent, making it suitable for most communications needs inside an enterprise.
  4. Qualcomm invests over $100m in Alcatel Lucent’s small cell business and ALU will use Qualcomm’s small cell SoC for all next generation small cells.
  5. Vodafone Netherlands announced it is using SpiderCloud’s system to address reliable coverage and capacity for medium to large enterprise customers.
  6. Ericsson enters the small cell market and announces a new and more sexy DAS system (that will come to market by Q4, 2014). Pac-Man (video) becomes cool again.
  7. SpiderCloud announces the industry’s first Dual-band 3G and LTE small cell (using Broadcom) as part of the Enterprise radio Access Network (E-RAN), a year after the first generation LTE small cell was announced (6 LTE trials).
  8. Small Cell Forum announced that 56 mobile operators have deployed small cells, of which 26 are using small cells targeted at the enterprise market. And, that by 2018, over 10 million small cells will be deployed.
  9. Intel buys Mindspeed’s small cell business.
  10. SpiderCloud’s Behrooz Parsay, SVP Engineering and Operations, was recognized as one of six small cell industry “movers and shakers” by Lightreading.com.

We appreciate the recognition. Six years of hard work from our engineers and field engineering teams led to several deals signed, and winning four industry awards (an additional five further short-listings) for our enterprise small cell innovations. Behrooz Parsay summarizes it nicely:  “For almost six years, we have worked hard to enable mobile operators with flexibility, ease of deployment and scalability, as well as reliability and performance for enterprise customers and in 2013, we showed the entire industry that we deliver on these requirements.”

As we look to next year, we believe 2014 will be the year mobile networks start to converge with Enterprise IT needs. 2014 will be the beginning of a seven-year enterprise transition from 80% Capex to 80% Opex spending on mobility, opening the door to a $100 billion mobile managed services opportunity for mobile operators.

Why? There is very clear demand on equipment vendors to reduce the cost of networks, both for mobile operators and their enterprise customers, using cloud and application services and virtualized network capabilities. This trend is having a dramatic impact on the network spend on hardware-only products and services in medium to large enterprise customers, opening the market for software-based applications and services, which reside on “white label” servers in third-party data center operations. The move towards more opex-oriented services will have a dramatic impact on established routing/switching “box” vendors.

Indeed, in 2014, we may see mobile-enabled devices surpassing laptops and desktop phones as the preferred method for enterprise communication. And, leading enterprise customers’ RFPs will start to demand vendors to offer multi-access Wi-Fi, 3G and LTE connectivity for reliable access and services.

Next year, leading mobile operators in the USA, Europe and Latin America will start to offer in-building coverage and capacity solutions, followed by managed mobile services.

We thank all of you for your support and continued encouragement. Next year will be an even bigger year for enterprise small cells.  Follow us on Twitter @SpiderCloud_Inc and meet us at many industry events. Our next big event is Mobile World Congress in Barcelona, February 24-28, 2014. Request a meeting with executives by sending an email to: mwc14@spidercloud.com

We wish you all happy and safe Holiday celebrations, and a peaceful and prosperous New Year!

Ronny Haraldsvik SVP/CMO
Twitter: haraldsvik

Tapas, Small Cells & Services

February 12, 2013

“Carrier Wi-Fi Offload” was all the rage at last year’s Mobile World Congress (MWC) in Barcelona. But a year later, network priorities have changed. As I mentioned during last year’s Mobile World Live TV panel – “Next year will be all about multi-access small cells.” At this year’s annual gathering of some of the smartest and most innovative people and companies in mobile, MWC13 (February 25-28), will serve up ever-delightful Tapas, followed by multi-access Small Cells and enterprise managed services as two of the main dishes at this year’s big event.

MWC13 is where mobile operators and vendors jointly start to look beyond small cells for coverage and capacity, to revenue-generating mobility services for larger venues and enterprise customers. Why now, and which type of services?

It starts with a reliable in-building coverage and capacity system that can scale

In a recent survey conducted by YouGov, 35% of IT managers whose businesses have a mobile operator say their business is prepared to move to a wireless carrier that could guarantee a better indoor solution. Almost half (47%) reported interest in Mobile Device Management as an operator-hosted service to manage, monitor, secure and support mobile devices in the enterprise, and 40% demonstrated an interest in Wi-Fi as a service from their operator.

These findings support a recent report by Exact Ventures, Enterprise Mobility Services are Market Opportunity for Mobile Service Providers, which concludes that managed mobility services represent a $100 billion market opportunity for mobile operators, and a savings of 35% a year for enterprises adopting such operator-delivered managed and hosted services.

As the leading innovator of scalable small cell Enterprise Radio Access Network (E-RAN) systems for mobile operators, SpiderCloud Wireless is finding itself at the intersection of the densification of networks, applications and cloud-based mobility services. Just over five years ago, the founding team and its investors accurately predicted that small cells needed the ability to scale, just like Wi-Fi systems inside an enterprise, beyond wireless access.

At this year’s MWC13, SpiderCloud Wireless is part of a fortunate few private companies invited to speak. SpiderCloud Wireless has three speaker slots on Tuesday, February 26

  • 9:15am: Ronny Haraldsvik, CMO, “Network Offloading” panel, Mobile World Live TV
  • 10:30am: Art King, Director of Enterprise Services & Technologies, “Beyond Coverage & Capacity: What Enterprise IT Wants in form of Services from Mobile Operators,” Small Cell Forum Pavilion (Hall 7, G74)
  • 2:00pm: Michael Gallagher, CEO “Smaller But Smarter: Making a Success of Small Cell Networks” panel, Conference Village in Hall 4, Auditorium 3

SpiderCloud Wireless is sharing findings from 3 studies concluded in February:

  • Valuable licensed spectrum is a largely under-utilized asset indoors: Quantifying the in-building coverage and capacity constraints of an outdoor macro network that is used to provide in-building mobile data services – research report by Signals Research Group.
  • Enterprise Mobility Services: Market Opportunity for Mobile Service Providers – a market analysis by Exact Ventures that highlights a $100 billion 2020 emerging market opportunity for mobile operators. The research shows that enterprises can save 35% a year by adopting such operator-delivered managed and hosted services, totaling $60 Billion in cumulative savings between 2014-2020.
  • Enterprise IT Coverage & Capacity satisfaction survey by market research agency YouGov that identifies concerns with in-building service and willingness to switch mobile operators for better coverage and capacity, and to adopt cloud and applications, mobile device management and Wi-Fi services delivered by a mobile operator.

SpiderCloud Wireless is hosting Meetings in Hall 2, A130. SpiderCloud will discuss and showcase enterprise services examples such as PBX and Cloud-based PBX integration, context-aware and location applications, security and compliance, and Wi-Fi as a service. Enablement of such services starts with the deployment of a multi-access small cell system that includes 3G, LTE and Wi-Fi, and the ability to scale the system to 100 small cells with soft handoff and central coordination to deliver reliable mobile services indoors for enterprise customers of any size. To request a meeting, email meetingrequest@spidercloud.com or visit http://www.spidercloud.com/news/events

Check out the new venue and GSMA’s analyst device preview to MWC13 (Follow on Twitter @ #MWC13)

See you at the congress. Go Barcelona!

– Ronny Haraldsvik SVP/CMO
Twitter: haraldsvik

The Inside Advantage

February 6, 2013

Managed Mobility Services for Enterprise Customers is a $100 Billion Opportunity

We are in the midst of the most rapid mobile network change we have seen in over 15 years. Mobility and the use of licensed spectrum is the digital oxygen that drives productivity – our industry’s equivalent to crude oil deposits. Spectrum reuse and targeted capacity using small cells indoors is rapidly becoming the answer to deal with networks at capacity. So where’s the $100 billion opportunity? It starts with providing a scalable small cell network that can deliver reliable indoor 3G/LTE and Wi-Fi coverage and capacity for enterprise customers, re-capturing vastly under-utilized licensed spectrum indoors and positively impacting on the outdoor macro cellular network.

“Mobility and agile network services for enterprises can give mobile operators an inside advantage”

The enterprise mobility services market opportunity is arising as a result of several key trends: mobility and the need for BYOD policies and control, and cloud computing and the emergence of enterprise small cell systems that go beyond coverage and capacity. In 2013 and beyond, operators have an unrivalled opportunity to move beyond minutes and Megabytes and subsidized devices and become trusted partners to enterprise customers.

As more hardware and Wi-Fi vendors start to offer managed SaaS and WaaS services, so they leave the door open for fixed service providers to do the same. This gives enterprise customers valuable options to curtail CapEx spending. The advantage for the mobile operator is that they can offer a full suite of OpEx-only mobility services with reliable licensed spectrum coverage and capacity using multi-mode small cell systems – and still deliver WasS, SaaS, security and compliance services.

In the market analysis “Enterprise Mobility Services*: Market Opportunity for Mobile Service Providers,” Exact Ventures, an analyst firm focused on technology market intelligence, analyzed the managed mobility services opportunity for businesses of 100 to 4999 employees in United States and the European Union. In leveraging the mobile ecosystem and small cell systems for in-building coverage, capacity and services, operators have the ability to help enterprise customers remove IT challenges with mobility, unified communications, secure access to applications, device management and integration of cloud and telephony, as well as leverage the emergence of new context and localization-based services.

“With enterprise IT teams under constant pressure to do more with less budgets and resources, the opportunity for trusted mobility services is tremendous,” said Greg Collins, principal with Exact Ventures. “Until now, there’s been little reason for enterprises to have a relationship with operators beyond minutes and mobile devices. Small Cell systems that go beyond coverage and capacity can change this model and open up new business models that can help enterprise customers save significantly on CapEx and OpEx.”

“Enterprise IT can save approximately $60 billion between 2014 and 2020”

By outsourcing telecommunications services, enterprises can leverage new in-building mobile services and save up to 35% per year by transitioning from a CapEx to a per-user/month OpEx model –  saving enterprise IT over $60 billion between 2014 and 2020 and allowing finite IT resources to be either re-allocated to focus on differentiation and competitive advantage or for the cost savings to fall to the bottom line.

Enablement of such services starts with the deployment of a multi-access small cell system that includes 3G, LTE and Wi-Fi and can scale beyond a few small cells to deliver reliable mobile services indoors for enterprise customers of any size. To enable managed cloud and application services, a locally deployed controller or services node is required to maintain secure services access to and from any mobile device on the network.

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Mobile operators who start to offer true managed mobility services to the enterprise, starting with basic coverage and capacity, can follow on with services such as BYOD, MDM and PBX Integration, even Wi-Fi as a service. 

Hosted Unified Communications (UC) refers to a set of real-time communications services such as instant messaging, presence information, telephony and video conferencing, as well as non-real-time communication services like e-mail, SMS, voicemail and fax.  UC is not necessarily a single product, but is often a set of products that provides a consistent unified user interface and user experience across multiple devices and media types.

Security: Cloud-based Web Filtering Enterprises increasingly employ cloud-based web filtering as a way to monitor and control website access and usage to enhance productivity and improve security by protecting against malware and spyware.

Mobile Device Management (MDM) entails lifecycle management of both company and employee provided mobile devices to manage and secure enterprise data and access.

Compliance Services Many industries are subject to regulatory record keeping requiring documentation of all communications within an organization. In conjunction with other cloud-based telecommunications services, operators can centralize the collection, storage, and reporting of such data, helping customers relieve costs and adhere to regulatory or best-practice compliance.

Wi-Fi-as-a-Service is the delivery of enterprise-focused services such as secure internal and guest Wi-Fi. Where the operator is already installing small cells with Wi-Fi, it can offer its business customers Wi-Fi access when the opportunity is available.

Context-Aware (or Location-Based) Services can offer enterprises a large array of use cases. The opportunity to leverage the very sophisticated mobile network location capabilities in Small Calls and extend them into the macro network creates unique opportunities to innovate enterprise business systems in ways that have never been easily available.

Enterprise CIOs will start to expect mobility services from their communications partners as part of a longer-term strategy to lower CapEx and improve productivity and business agility.

As we look forward, we are seeing the emergence of a common service network infrastructure where macro, micro and small cells work in close tandem with intelligent physical and virtual routing of access and services. Network-as-a-Service (NaaS) is becoming a reality much faster than expected.

Mobile operators have the opportunity to offer its enterprise customers with a clientless-UC access to mobility, applications and cloud-based services, giving them the inside advantage over any other service provider and building a trusted relationship for years to come.

– Ronny Haraldsvik SVP/CMO

Rethinking In-Building Wireless by Exact Ventures

September 21, 2012

Executive Summary (excerpt from the 14 page white paper)

  • Given the huge influx of smartphones and tablets into the enterprise, the attitude of many IT managers is changing from wireless coverage – whether over unlicensed or licensed spectrum – is someone else’s problem to where having solid, reliable, and secure wireless coverage is a core IT infrastructure issue. Wireless coverage has become a core issue to IT due to wireless devices moving to mission critical role in business operations. Devices are expected to simply work, without limitations, in all indoor locations by IT’s business users.
  • Wireless data traffic continues to more than double each year, and since approximately 80% of wireless devices are used indoors, much of the increase in traffic will be generated in places where cellular coverage is poor. Therefore, both capacity and coverage continually need to be added to enterprise and other indoor environments.
  • Enterprise Small Cells are emerging as an ideal solution for addressing the problem of indoor coverage for many service providers that find the economics of distributed antenna systems (DAS) for medium and large enterprises prohibitive. Small cell systems are relatively inexpensive, are easy to install, configure, and maintain, and they furthermore add new capacity to operator networks.
  • Enterprise Small Cells networks are a necessary and disruptive development in the inbuilding wireless market.
  • The cost advantage of Enterprise Small Cells over Distributed Antenna Systems (DAS) is staggering and will likely create a significant disruption to the DAS market in the coming years. While the cost of DAS can vary significantly depending on the size, type, and condition of the building or structure being covered, cost modeling conclude and interviews with service providers confirm that Enterprise Small Cell networks can be an order of magnitude—or 10 times—less expensive than a DAS with comparable coverage and capacity.
  • The firm ABI Research expects that small cell adoption, as a coverage option for smallto medium-size enterprises will catch up with DAS by 2016. ABI also predicts that DAS and Enterprise Small Cell equipment revenue will each reach the $2 billion mark by 2016.
  • Enterprise customers and mobile operators will benefit from the emergence of mobile enterprise services beyond basic coverage and capacity in the years to come as more opex-based cloud and applications services are offered by mobile operators and service providers in an effort to offset enterprise capital expenditures and to manage the pressure to keep up with the ‘consumerization’ of IT.

Enterprise in-building wireless coverage is quickly changing from ‘someone else’s problem’ to a core IT infrastructure issue.

To receive a copy of the complete white paper, register now.

Greg Collins
Exact Ventures