Two-thirds of firms will be wireless by 2007

Over two-thirds of all companies will have deployed at least one wireless application by 2007, according to research.

Meta Group predicts that messaging will top the most-wanted application list, with half of organisations enabling wireless email within three years and three-quarters within four years.

However, the analyst group expects email to serve merely as a starting gate for the enterprise wireless movement, not the finish line.

"As users grow increasingly comfortable with wireless email, they will demand more sophisticated technology," said Jack Gold, vice president at Meta Group.

"Companies will respond by deploying mission-critical wireless applications that address asset management, logistics, delivery and a host of other enterprise needs. Moreover, as the types of applications increase, so too will the size of the deployments."

According to the study, within two years companies with wireless pilot initiatives will slowly expand the scope of deployment from a limited number of seats to installations totalling thousands of users.

It further predicts that organisations will move towards large-scale departmental or corporate deployments.

However, despite the trend toward increased scale, the average wireless deployment will remain limited to 100-200 users, and will cost corporations roughly $250,000-$500,000, according to Meta Group estimates.

Due to the significant expense related to installations, the report urges chief information officers to address the "numerous wireless challenges" before moving forward with deployment.

"The reality of wireless is finally catching up with the enormous hype that has surrounded the technology for years," explained Gold.

"However, there are still numerous challenges associated with deployment that cannot be overlooked.

"The smart CIO will spend time and resources evaluating business needs, identifying technology limitations and calculating cost/benefit assessments before deploying wireless applications."