Small Businesses Will Soon Spend More On Wireless Services!

Small businesses can’t compete in the “brick-and-mortar” world of big business, but wireless technology now gives “the little guy” a fighting chance. By 2012, small businesses will be directing more of their hard-earned capital to wireless services than wireline voice.

According to a new In-Stat report “Small Business Markets for Telecom Services: Wireline Voice, Wireline Data, Wireless, Cloud Computing & VoIP IN 20 Verticals,” the top 4 small business spending areas will be wireless services, wireline voice, wireline data spending and cloud computing services.

The report states “Connectivity has become the life blood of businesses’ efforts, but it is particularly crucial to small businesses as many operate without a brick-and-mortar presence to customers.”

Provided in this report is a forecast of  projected telecom business spending in the United States starting in 2010 and ending in 2015. The information was segmented by the vertical markets, individual liable spending, corporate liable spending, size of the business and product category.

No stone was left unturned in developing these telecom forecasts.  Included are detailed forecasts about Wireless Data (Access & Messaging), Wireless Handsets, Wireless Voice Services, Local Telephone Services, Domestic Long Distance, International Long Distance and Toll-Free Services.

Other telecom services researched include VoIP, Broadband IP Telephony, Hosted IP PBX, Premises-Based IP PBX plus Public Cloud Services: IaaS, PaaS & SaaS.

Wireless services are already strong in small businesses with 5-9 employees and 10-19 employees. Small businesses with 20-99 employees will fuel this tremendous growth in wireless services spending by 2012. This 20-99 group accounts for over half of all small business spending. The report classified small businesses as companies which employs between 5-99 individuals.

In-Stat’s Research Analyst Greg Potter says “One can already see the strength of wireless in 5-9 and 10-19 sub-segments. It is the 20-99 sub-segment, however, that will maintain the dominance of wireline voice through the end of this year.”

Between 2010 to 2015, infrastructure as a service is predicted to grow 190%. Small business spending on cloud computing services will account for the majority of this increase.

By 2015, traditional wireline services are predicted to have declined by 15%. That decline translates into a loss of over $1 billon for wireline services.

This transition from wireline to wireless services spending covers a diverse range of small businesses.

The report made forecasts targeted to specific industries and how this transition will affect them.

Those industries in the report are: administrative services, waste management, arts, entertainment, education, finance, insurance, forestry, fishing, agricultural services, government, health care, social services, hospitality, food, business management, information technology, communications, manufacturing, mining, real estate, retail trade, transportation utilities, wholesale trade, construction and professional services.


About Jordan Brown

Jordan Brown is a veteran Writer/Journalist/Actor based in Harlem NYC. The DC native has also called Los Angeles, Chicago, Memphis, Pittsburgh, PA, Oslo & Bergen Norway "Home." Mr. Brown spent many years as Senior Producer at ABC, worked as War Wire Editor at Fox News Channel & Business Radio Producer at Black Enterprise. Since 2005, he has been Publisher-Editor of "The FREE Jordan Brown JOBS Report" His personal mission is to help fellow creative media people find employment in these trouble times!

  • Amelia Stevenson

    It still remains to be seen if “competitive” is the right word.  Wireless services, however, does add more dynamics to a small business.  Remember, the big boys use wireless services, too.

    I do agree that wireless service is number one in a small business’ spending.