Cisco IBSG conducted a survey of 1,079 U.S. mobile users to understand their needs and behaviors, current and future mobile usage, and level of interest in Wi-Fi and new forms of Wi-Fi monetization. More info: http://www.cisco.com/web/about/ac79/docs/sp/SP_Wi-Fi_Consumers.pdf

1. What Do Customers Want From Wi-Fi?
Insights from Cisco IBSG
Mobile Customer Research
June 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 0

2. A New World of Wi-Fi
The Rise of Wi-Fi …Combined with Growing
Availability… User Acceptance
 Massive growth in Wi-Fi  Move to free access to Wi-Fi
enabled devices hotspots and bundling with
subscriptions
 Significant growth in Wi-Fi access
points – home, business, public  Much of what we want to do is
nomadic, not mobile
 New technologies and standards
will improve and simplify the  People will happily use Wi-Fi
Wi-Fi experience as a substitute (or complement)
to mobile access
 In many instances, Wi-Fi is
a more cost effective and
better experience than mobile
Source: Cisco IBSG, “A New Chapter for Mobile? How Wi-Fi Will Change the Mobile Industry as We Know It”
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 1

3. Cisco IBSG undertook primary research with mobile
consumers to understand what they want
Device Ownership Key Areas of Questions
Laptop Computer  Demographics
Smartphones  Devices Used (frequency
Basic Mobile Phone and duration)
Mobile Media Player  Primary Locations
Tablet Computer (frequency and duration)
e-Reader  Network Preferences
Mobile Gaming Device
 Attitudes toward innovative
0% 20% 40% 60% 80% business models
Percentage of Respondents N = 1079
 1,079 U.S. customers, age 18 and over, surveyed
online in March 2012
 Survey population representative of the total US
population (age, income, employment status, location)
Source: Cisco IBSG, March 2012
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 2

4. It’s all about the home
Average Daily Usage by Location
Your Home
Friend's Home
At Work at Normal Location
At Work but at Remote Location
Retail Locations**
Public Locations*
Travel Locations
On-the-Go
0.0 0.5 1.0 1.5 2.0 2.5 3.0
Hours per Typical Day N = varies
* Public – e.g., stadiums, parks, schools Users that Use That Location All Users
** Retail – e.g., stores, restaurants
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 3

5. Mobile users are connecting their devices via
Wi-Fi, including 70% of smartphone owners
Current Distribution of Network Connectivity Time
60%
50%
Percentage of Respondents
40%
30%
20%
10%
0%
100% Mobile 75% Mobile/25% Wi-Fi 50% Mobile/50% Wi-Fi 25% Mobile/75% Wi-Fi 100% Wi-Fi
N = varies
Smartphone Tablet Computer Laptop Computer e-Reader
33% of All Smartphone Connection is Over Wi-Fi
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 4

6. People prefer Wi-Fi to mobile to connect
mobile devices
Preferred Network Access
Mobile/
Attribute Cellular Wi-Fi No Difference N*
Lowest Cost 20% 56% 24% 746
Speed of Network 18% 58% 24% 800
Best Reliability 31% 46% 23% 794
Best Performance
27% 46% 27% 759
for My Applications
Best Coverage 46% 35% 19% 792
Most Secure 34% 35% 31% 753
Easier to Use 29% 40% 31% 821
* Don’t Knows removed from sample.
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 5

7. One-third of mobile users use a
public hotspot at least weekly
Public Hot Spot Usage per Week (all locations)
70%
60%
Percentage of Respondents
50%
40%
30%
20%
10%
0%
Do Not Use <1 per Week 1-2 per Week 3-5 per Week 5-10 per Week >10 per Week
N = 1079
1 Public Outdoors (e.g., parks, streets) 17.1%
2 Coffee Shops/ Restaurants 16.7%
Top Locations
(>1 per week)
3 Retail Locations 13.4%
Cisco IBSG © 2012 Cisco and/or its affiliates. All rights reserved. Cisco Public Internet Business Solutions Group 6

8. For more information
www.cisco.com/web/about/ac79/docs/sp/SP_Wi-Fi_Consumers.pdf