Market assessment and business models for high speed Internet service on board trains: a comparative evaluation conducted in France, California and Japan

Olivier Epinette (), Maia Souillet, Nunzio Santoro (), David Sanz and Jean-Luc Ygnace
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Olivier Epinette: CEMANTIC - Centre d'Études et de recherches en Management et TIC - TEM - Télécom Ecole de Management - IMT - Institut Mines-Télécom [Paris], IMT-BS - MMS - Département Management, Marketing et Stratégie - TEM - Télécom Ecole de Management - IMT - Institut Mines-Télécom [Paris] - IMT-BS - Institut Mines-Télécom Business School - IMT - Institut Mines-Télécom [Paris]
Maia Souillet: CEMANTIC - Centre d'Études et de recherches en Management et TIC - TEM - Télécom Ecole de Management - IMT - Institut Mines-Télécom [Paris]
Nunzio Santoro: TSP - RST - Département Réseaux et Services de Télécommunications - IMT - Institut Mines-Télécom [Paris] - TSP - Télécom SudParis
David Sanz: R&D - SNCF - Département recherche et développements - SNCF
Jean-Luc Ygnace: INRETS/LEOST - Laboratoire Electronique, Ondes et Signaux pour les Transports - INRETS - Institut National de Recherche sur les Transports et leur Sécurité

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Abstract: The train-IPSAT project aims at providing Wireless LAN , High Speed Internet connectivity for High Speed Train (TGV). This publication proposes the Business Models which will improve the probability to run a profitable project. In order to define a Business model, one should understand the various functions needed to provide the services and list all the potential contributors in the "value chain". To achieve the objectives, we have defined three complementary actions: List all important services for TGV users, list the functions which are necessary to provide the services, define the "Value Chain models". The state of the art study of already existing similar projects, has provided a list of services and functions needed to deliver the end-user services. A "Value chain" model has been developed based on the necessary functions to provide the service. In light of the Value chain model, the analysis of the on-going projects has demonstrated some key issues. We have identified four families of potential users: leisure passengers, business passengers, special trains renting (advertisement trains, "Yellow coins" train,..), the SNCF staff for their network connection. Three types of service could be proposed to clients based on specific needs and usage for each family of users : internet access services (e-mail access, Web browsing,..), contents delivery services for regular passengers or business men, network services. This publication proposes two main recommendations. Out of the four families of users who are all willing to use WiFi in the TGV but who greatly differ in the revenue they could generate, two targets have to be addressed first: Business passengers and the SNCF staff. Assuming that the services are available, the following key issues need to be addressed: complementary technologies to provide seamless services independent of the access technology, installation of the solution in all equipment.

Keywords: WiFi; TGV; Business model; Usages; Value chain (search for similar items in EconPapers)
Date: 2007
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Published in INRETS, 272, pp.98, 2007, Rapport INRETS, Rapport INRETS, 978-2-85782-645-3

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-02521739

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