FMS in the enterprise

Value-conscious consumers are increasingly wondering why they need to pay for two phones, and deciding to save by ditching their wireline phone. This is technically termed FMS – Fixed Mobile Substitution, . Will the same thing happen in the business phone world? There’s a precedent for it. Desktop computers are being routed from offices by mobile PCs. Could desktop phones be displaced by mobile ones in the same way? It has been reported that more than half of calls made from businesses are cellular, so the substitution in usage is well under way already.

There are several objections. The sound quality of cellular conversations is abysmal. The cost per minute is much higher. Business desk phones have all sorts of features that cell phones lack. The form factor of cell phones is inconvenient in some ways – you can’t clamp them to your ear with your shoulder, to free up your hands. Plus cordless phones have been available for PBXs for years, and they have sold very badly.

Almost everybody in business has a cell phone. There is no way that these people are going to abandon their cell phones, but if the technical and usability obstacles are removed, they may see no further need for a desk phone. Cutting this expense has to be attractive to businesses focussed on ROI.

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