Should Content Providers Share Cost of Mobile Data Transport?

The issue of wireless network congestion is one that everyone in the industry is trying to solve, using technical and other means.  One of the most recent proposed solutions, though, is economic.

According to a recent ZDNet UK article, O2, the UK’s leading provider of mobile phones and broadband, would like to charge content providers to offer their websites and services on its network. According to O2 chief executive Ronan Dunne who spoke at a Westminster eForum in early November:

“If consumers alone are paying, it’s hard to see where the incentive is for content providers to use networks efficiently,” Dunne said, adding that he wanted “big companies” to pay their share.

Only time will tell if O2’s plans to charge content providers will take off.  In the meantime, SEVEN Networks is working with content providers and application developers to help them minimize network signaling and data traffic in order to develop network and battery friendly applications. Early test results show a 5x reduction in data traffic and a 50% reduction in battery consumption compared to apps that use traditional interval polling or keep the device IP channel constantly open.

What do you think – should content providers share the cost of the mobile data used? We’d love to hear your thoughts in the comments below.

About SEVEN Networks

SEVEN Networks software solutions deliver device-centric mobile traffic management and analytics for wireless carriers. Extending control from the network to the mobile client gives operators the power to manage and optimize data traffic before it impacts the network. Device-based analytics offer deeper and timelier insight than solutions that are solely network based. SEVEN’s Open Channel products reduce operator costs, increase efficiency in the use of wireless infrastructure, and enhance end-user experience. They bring immediate capacity relief to overloaded networks, simplify the creation of innovative new service plans, and provide actionable intelligence for mobile carriers.
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