While the market for mobile broadband services (3G/WiMax/Dongles/Netbooks etc.) is growing explosively, today’s telco propositions are based on out-moded business models which threaten profitability. Telco 2.0 proposes innovative retail and wholesale approaches to improve returns.

This briefing report considers the current and emerging strategies for offering mobile broadband to customers. The last few years have already witnessed a shift from enterprise-focused subscriptions to more consumer-centric packages, stimulated by low-cost USB dongle modems. But rampant price competition and quickly-filling networks are threatening simplistic flat-rate models. Although it is relatively easy to sell mobile broadband subscriptions, it far from obvious how profitable they are, especially where tactical marketing offers have pitched the service directly against ADSL or cable services.