In various reports this year, J.D. Power — a “consumer insights… and data and analytics” firm — has affirmed the excellence of fixed wireless access (FWA) networks and customer satisfaction with them.
For example, in a report released in June, J.D. Power found that customer satisfaction with fixed wireless was higher than with fiber or cable internet.
Last week, Telecompetitor interviewed J.D. Power Senior Director of Technology/Media/Telecom Practice Carl Lepper to talk about the trends the firm is seeing related to FWA.
“The trends from a customer point of view are very positive,” Lepper said. “They’re getting outstanding customer experience scores across the board. Compared to the rest of the internet market, they’re incredibly competitive from a customer experience point of view.” FWA’s biggest strengths are price and convenience, he said.
Lepper thinks the reason for fixed wireless’ dominance in the J.D. Power research has a lot to do with where those customers came from. “Everyone who’s moved over to fixed wireless access has come from someplace else, and most people didn’t leave their [previous] internet provider if they were having a great experience.
“So, what [FWA is] doing is capturing the people who weren’t satisfied or felt they were paying too much and giving them a much better experience than what they’ve had in the past.”
Customers highly satisfied with fixed wireless may have come from less dependable satellite service or providers with slower speeds, Lepper suggested. “They’re doing a great job of satisfying people who were ready to leave.”
Fixed Wireless vs. Fiber: The J.D. Power Perspective
Lepper was clear that fiber provides a better experience than fixed wireless.
Referring to FWA providers, he said, “Their product isn’t stronger than fiber, and no one would ever say that it is. If fiber is all the way to your house, you’re probably never going to get a better internet connection than that. Whether it’s fixed wireless, satellite — there’s no other method of getting internet now that’s better than [fiber]. That’s why everyone’s laying down fiber everywhere, right?”
He said he would be “shocked if I even found one person who had fiber to the home” who switched to fixed wireless, but added that it’s possible some would switch for price — for example, if fiber “was $150 per month and fixed wireless is $50 per month.”
Despite Lepper’s belief in fiber’s superiority, he said every technology has its role to play in the broadband ecosystem.
“Internet is our new electricity; everyone wants it,” he said. “Every household in the U.S. would like to have good internet; their kids need it for school, they need it for work, they need it for every piece of equipment they own.
“So [providers are] dropping fiber everywhere that they can, as fast as they can, which is very expensive. And I see fixed wireless filling the gaps for people who don’t have good options. Satellite is doing that globally; they’re getting to countries and remote places where people didn’t have internet. So, it really is this game of how do we get it to every household?”
Selling Fixed Wireless to a J.D. Power Employee
Lepper said that even the big national providers investing in fixed wireless are sending mixed messages about it. He told this story: “I had an AT&T sales rep come to my door yesterday. He was pitching [mobile] service, and I said, ‘Are you throwing in fixed wireless access, too?’ He said, ‘Oh no, that’s not very good.’”
Meanwhile, his friend in the next town went into an AT&T store that was offering fixed wireless service alongside mobile service at no additional cost.
“They were giving it away because they’re trying to build up the number of people who have it. But then their outside salesman was saying the opposite.”
A Hybrid Future?
Referring especially to national providers, Lepper commented on the “integration of internet companies and wireless companies that’s happening. Every internet company wants to be wireless, and every wireless company wants to be internet.”
Lepper said that, with the “big five” companies — Verizon, AT&T, T-Mobile, Charter, and Comcast — offering both wired and wireless options, he worries about how smaller carriers will fare.
“I don’t know how [smaller carriers] keep up with technology, as fast as technology seems to be moving. Let’s say they’re all copper lines, and then fixed wireless comes along. [FWA] is better than copper. It’s better than DSL. That’s the business that’s disappearing because of FWA. That’s who [FWA providers] are stealing customers from.”
