The distinguishing feature: TDMA players seek the service they and no one else can offer

Differentiating time division multiple access technology was a central focus of the Universal Wireless Communications Consortium's Second Annual Global Summit two weeks ago. The consensus was that voice quality, price and capacity are no longer tools operators can use to distinguish technologies.

"We need to get out of the price game. No carriers are going to win at that game," said Charles Hoffman, president and CEO of Rogers Cantel.

"We've taken capacity and voice quality off the table," said Leo Nikkari, vice president of programs and strategy for the UWC.

Countless features won't differentiate technologies, either. "It's fascinating that we were obsessed with features," said Nick Kauser, executive vice president and chief technology officer of AT&T Wireless Services. "We were panicked by what we didn't have."

Carriers might do better to focus on specific features unique to a technology. "We haven't expressed to customers that there is a benefit with aligning with a network that has better features," Kauser said.

Wireless office services is the first such feature AT&T believes truly separates TDMA from other technologies.

Hughes Network Systems, Northern Telecom and now Ericsson supply AT&T with wireless office systems infrastructure.

Ericsson introduced Digital Wireless Office System at the show (see figure). Users carry features such as four-digit dialing and call forwarding with them onto the macro network.

While this product ideally serves from 25 to several hundred users, "our strategy is that the system will provide the PBX system [in the future]," said Rune Johanson, vice president of wireless office services for Ericsson.

In addition to decreasing churn and adding customers, wireless office services can increase usage during idle network times. "Carriers can capture customers more often during the day," said Arunas Slekys, vice president of the wireless networks division for Hughes. Ericsson's and Hughes' products will be available in the fourth quarter.

At the end of this year, AT&T expects small base station and pico cell prices to drop enough to begin offering wireless service in the home, said Dan Hesse, president and CEO of AT&T Wireless. The envisioned home wireless service eventually could work with or independently of AT&T's developing Project Angel. Angel users would need large data services, he said.

While operators can focus on offerings such as wireless office services, they must continue to offer countless other features to remain competitive. AT&T still is working on educating customers about services to encourage use because "90-plus percent of users just about know how to press send," according to chief technology officer Kauser.

Market maturity will help. "Although 15 years have gone by, it's a short time for an industry," Kauser said. AT&T has offered manuals, tapes and has even considered videos to help educate customers.

Part of AT&T's problem lies in its reliance on outside sales channels, Hesse said. Sales people at these shops may be most interested in selling the phone and less interested in teaching users benefits. "Education has to take place when you sell the phone," agreed Kent Olson, consultant for The Strategis Group. Consumers might use more features if they paid for them because then the services would have value, Hesse suggested.

Because AT&T Wireless' biggest marketing cost is customer care and most calls are questions about how to use features, Hesse would like to cut down on the number of calls to customer service, something that can be done with more customer education.

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