Sometime late this year, the estimated number of mobile small-medium businesses in the world (those with between five and 99 employees who use smartphones when travelling) will pass 200 million. In some regions, 99% of all businesses are classed as "small-medium." According to a new study from ABI Research, this SMB market, which has not adopted 802.11 network solutions to a great degree, provides a golden opportunity for Wi-Fi vendors of both equipment and services.

“Despite the present economic downturn, this is a hot market,” says vice president Stan Schatt. “But SMBs have very particular needs and characteristics, and vendors wishing to serve this market need to pay close attention to them.”

Unlike large enterprises, small businesses tend to buy equipment out of current operating cash flow, not capital funds. This could be very important in the current economic doldrums. Where profits dwindle, so does the opportunity. Vendors must be creative in addressing this hurdle.

Part of the solution is finding the right channel to reach these customers. Says Schatt, “Many small business owners are not tech-savvy and will favor a sales environment that provides customer education and support.”

Managers of SMBs are also particular about choosing equipment designed for their specific needs. They don’t want a “shrunken” version of a system intended for a large enterprise. Cisco learned this to its cost during its first foray into this market, and has now re-addressed the demand with products designed from the start for the SMB.

SMB owners are emphatic about the need for physical security but are less knowledgeable about electronic threats. Their lack of security expertise means a greater opportunity for vendors of managed services.