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| Guidance > Nomad Wireless Forum > Nomad Wireless Briefing > Nomad Wireless Briefing July 2006 |
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Documents: Nomad Wireless Briefing | ||||||||||
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| A Framework for Business Modelling |
| Population density, level of urbanisation, community interest in the initiative and funding options are just some of the factors to consider in choosing a business model. In Europe and the UK, it is common to find community based networks (such as Manchester’s EastServe – www.eastserve.com) or commercial networks (such as BTOpenzone). A framework like that below (Figure.1) can be used as a starting point to compare the common attributes of different models against your community’s requirements. Each ‘pillar’ represents a category of importance to the council. The Value Proposition may include how well the model helps the council to implement their transformation agenda or what the return on investment might be.  Figure 1 |
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| Choosing a Local Authority Model |
| Some local authorities have been forced into developing wireless networks where telecommunications companies are not interested in providing broadband. In the case of Shropshire (www.switchonshropshire.org.uk), this was accomplished without private sector finance. This may be the only recourse for local authorities and regional development agencies in cases of market failure. In the longer term it may not be appropriate for local authorities to divert resources from service delivery into network development. In choosing a business model, local authorities have a legitimate role in raising the profile and awareness of broadband. The situation is less clear from a competition and state aid perspective, where local authorities begin to engage in the telecommunications business or start delivering broadband to consumers. Furthermore, local authorities have a duty to treat all businesses equally and provide an inclusive service, which may make it difficult to deliver a sustainable model for business.  Figure 2: Business Models Suitability Figure. 2 above broadly maps local authority requirements against the framework introduced earlier. The needs of individual authorities and the financial constraints they have may limit their choice of model. Value Chain - Choose partners with the expertise to deliver the complete solution. Business Processes - Choose partners with a broad capability to minimise contractual difficulties, supplier management and risk. Value Proposition - Ensure the network can effectively deliver on shared services and government transformation agendas. Financial Model - Choose a business model that requires minimal capital investment and seek to maximise revenue from council assets. Environment - Choose a mode of financing and operating that is in line with political and regulatory requirements. |
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| Future of the Nomad Wireless Forum |
| The Nomad Wireless Forum aim is to develop the local government agenda for wireless in order to help local authorities make the right decisions when developing and implementing outdoor wireless broadband networks. The Forum brings together stakeholders from around the UK, including representatives from local authorities, technology partners and academia, to accelerate the adoption of wireless Internet to support social and economic development and better-managed cities, communities and regions. The Forum is an environment to foster dialogue among key decision makers from all groups. But we need your help... In order for us to continue development of the Forum, we need your support and input, to identify your organisations’ needs and drivers, best practice and case studies focusing on the challenges local authorities face when deploying such networks. These challenges may range from; achieving buy-in of the concept internally; proving the business case stacks up; or understanding the technology choices available. The Nomad Wireless agenda is focused on drawing out the tangible benefits that participants expect to derive from the take up of outdoor wireless broadband networks. There has been successful participation in the Nomad Wireless Forum meetings so far, especially from leading technology equipment vendors, service providers, and systems integrators. As part of an effort to further the dialogue and progress made in sharing win-win solutions we need to identify the champion local authorities that wish to drive this agenda forward and shape the wireless strategy for local authorities with Nomad Wireless. Would your local authority be willing to play a pro-active role in the wireless forum over the next year and maintain close contact with the critical suppliers shaping this market within local government? For more infomation: Contact Bharat Jain, Project Manager, London Connects E: bharat.jain@londonconnects.gov.uk T: 0208 921 5131 / 07951 206 055 |
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| Read other Wireless Briefings |
| Nomad Wireless Briefing - June 2006 Nomad Wireless Briefing - August 2006 Back to the Nomad Wireless Forum Home Page |
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In this month's issue of the Nomad Wireless Briefing - July 2006:
