Increasing service usage in the home and workplace will drive the development of wireless networks and services in developed markets, experts predicted today.

"It is dangerous to define a business strategy and plan based on a single view of the future because of the high level of uncertainty in the wireless industry," said Dr Mark Heath, an analyst at Analysys and co-author of the report.

According to Analysys, the mobile industry focus will change quickly from the provision of outdoor mobile services to indoor services.

Mobile operators will respond to increasing expectations for indoor coverage by deploying millions of indoor base stations.

This will enable them to achieve growth in ARPU through increased use of mobile voice telephony and non-voice services such as mobile TV and fixed broadband.

"Fixed broadband and cellular technologies will fulfil complementary roles within homes and offices," said co-author Dr Alastair Brydon.

"This will drive mobile operators to diversify their operations to include fixed as well as mobile services. Mobile operators will also be forced to invest heavily in the provision of indoor cellular coverage."

Dr Heath added: "Increasing usage of mobile voice and data services indoors suggests that indoor services are set to become a key area of competition for the wireless industry.

"Despite poor in-building coverage, the number of mobile users that make cellular calls at home is increasing. By 2006, more than 70 per cent of all voice traffic in Finland originated on a mobile phone.

"In addition, early trials have shown that homes and offices are the two most popular locations for using mobile TV services."

• Analysys Report: The Future of the Global Wireless Industry: Scenarios for 2007–12