T-Mobile to launch 3G and Wi-Fi integrated network in Q1

February 25, 2004

T-Mobile said Tuesday it will start a integrated Wi-Fi and 3G mobile service in spring which aims to create a multi-speed network to carry data traffic.

Speaking in a press conference at the 3GSM congress in Cannes, T-Mobile Chief Executive Rene Obermann said, "We are creating one multi-speed, multimedia network; integrating 2G, 3G and Wi-Fi." He added that the goal is "total seamlessness" between the technologies.

T-Mobile said data accounted for 16% of average revenue per user in Europe in 2003, up from 14% in 2002 while in Germany the figure rose to 17% from 15% a year earlier.

Obermann said the company will sell laptop data cards that will connect users to the best possible bandwidth wherever they are.

T-Mobile has around 700 Wi-Fi hot-spots in Europe and 4,000 in the US where they are primarily situated in airports and cafes.

In 2003, T-Mobile customers made 25 million downloads through the company's t-zones mobile portal, with half in Europe and half in the US. The most downloaded service, mobile ringtones, accounted for half of all downloads. Meanwhile, MMS is gaining popularity but still someway behind SMS.

Obermann said the company has yet to decide whether to launch 3G in the US and will for now implement the "relatively uncomplicated" upgrade to EDGE.

Obermann believes quality handsets won't be available until the end of the year. "Some handsets will be available in the second quarter," but added, "we probably won't see mass market availability until the fourth quarter."

"We cannot disappoint our customers by introducing handsets that are inferior in features and price."