Operators Express Concern Over Handsets

date: 16th January 2001, source: BWCS

Many cellular operators believe that a shortage of handsets will delay the launch of third generation mobile services. According to a recent survey of operators by ARC Group almost 90% ranked non-availability of 3G handsets as the primary barrier to the successful introduction of next generation services. Many companies are still smarting from problems with the supply of WAP and GPRS handsets and fear that similar problems will affect 3G services with potentially disastrous consequences.

In terms of the migration from 2G to 3G services over half believed that GSM operators in their country would adopt GPRS, while only a quarter expected that EDGE technology would be deployed. By 2002 65% of those surveyed said that commercial consumer 3G services would be up and running in their country with 42% predicting an initial data transmission speed of over 90kbps, someway short of the maximum 2Mbps expected to be available from UMTS. A surprising 40% of respondents believed that the 3G-licence auction process would have no effect on the rollout of next generation networks.

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