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WIRELESS OFFICE SET FOR TAKEOFF, EYEING MID-DECADE INTEGRATION

 WIRELESS OFFICE SET FOR TAKEOFF, EYEING MID-DECADE INTEGRATION
 MOUNTAIN VIEW, Calif., Feb. 19 /PRNewswire/ -- The wireless office is currently a small, but rapidly emerging, market that will approach $500 million in 1993, $1 billion by 1994 and $3 billion by 1997 in the United States alone, according to a new report just published by Market Intelligence.
 While wireless local area networks (LANs), that allow data exchange between computers, appeared first, wireless PBXs and other voice systems will rapidly follow, with commercial product introductions planned for 1992.
 By late in the decade, the market's largest segment will be wireless office systems that efficiently combine voice and data in a single integrated platform, forecasts Market Intelligence's report, THE WIRELESS OFFICE: LAN, PBX USERS CUT CABLES, EYE INTEGRATION.
 By 1997, such integrated systems will represent over 45 percent of revenues in the United States wireless office market, decisively passing second-ranked data-only systems.
 While data and voice platforms vie for limited corporate user interest, public spread spectrum, licensed high-frequency microwave and other technologies like infrared will continue to compete for acceptance as the dominant medium for this new mode of intra-office communication.
 A primary incentive for installing wireless technology is the reduced cost of installing, moving and altering systems, at a time when offices move and reorganize increasingly often. In the case of voice systems, mobility and productivity of office workers will probably be stronger selling points than the long-term cost savings anticipated from wireless LANs.
 Wireless office workers will carry small pocket-size handsets, removing the constraints imposed by fixed wired telephones. Key factors in expanding the wireless office market from its current embryonic size will include declining costs, demonstration of performance quality to users, resolution of spectrum allocation issues, establishment of transmission standards, and answers to questions about security and health.
 Integration will be a vitally important factor not only between data and voice platforms, but in terms of allowing seamless voice connectivity with cellular systems.
 In 1991, three major vendors -- NCR, Motorola and BICC Communications -- for the first time introduced wireless LANs with data speeds comparable to traditional LANs, giving the market its first push.
 The new wireless products are easy to install, offer the same transmission rates as wired LANs, and provide comparable or superior security. While the feasibility of wireless technology has been demonstrated, many potential users still need convincing and this market is still widely viewed as vendor-driven.
 Several wireless voice products are expected to become available in 1992. Key players in the voice market's initial phase include Northern Telecom, Ericsson and SpectraLink.
 Market Intelligence is an international high-technology market research company specializing in telecom, datacom and computers. All Market Intelligence reports are based on extensive interviews with marketing and technical experts from selected companies in each market segment. Since 1982, Market Intelligence has emerged as one of the leading publishers of high-technology research reports.
 Code: 609-60 Price: $1,695
 TOTAL WIRELESS OFFICE MARKET:
 UNIT SHIPMENT AND REVENUE FORECASTS (U.S.)
 1987-1997
 (In Thousands of Units and Millions of Dollars)
 Revenue
 Connection Units Revenues Growth Rate
 Year (000) ($ Million) (percent)
 1987 -- -- --
 1988 -- -- --
 1989 0.8 $1.2 --
 1990 4.2 3.6 200.0
 1991 28.4 24.8 588.9
 1992 113.8 96.6 289.5
 1993 520.8 456.9 373.0
 1994 1,127.0 951.8 108.3
 1995 1,958.5 1,556.9 63.6
 1996 2,957.1 2,237.9 43.7
 1997 4,062.1 2,895.1 29.4
 Compound Annual Growth Rate (1989-1997): 164.2 percent
 Note: All figures are rounded
 Source: Market Intelligence Research Corp.
 -0- 2/19/92
 /CONTACT: Amy Emerson Arnell of Market Intelligence, 415-961-9000 or 415-961-5042 (fax)/ CO: Market Intelligence Research Corp. ST: California IN: CPR SU:


DG -- SJ002 -- 0496 02/19/92 13:23 EST
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