Mobile Communications: Diffusion Facts and Prospects

This paper discusses the diffusion of different generations of innovative mobile services and compares actual market performance with expectation at the time of introduction of each generation. Whereas 1G and 2G were an unexpected success under this point of view, 3G did not live up to expectations. This poses the question to which extent technology was too much pushed on the supply side, rather than pulled on the demand side. While discussing the intermediary technologies leading up to 4G, the question of service innovations is posed, such as the convergence of fixed and mobile technologies. The paper thus dwells on possible reasons for actual market performance and tries to assess the perspective of the introduction of innovations still to come.