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Hutchison 3G Faces Connection Problems

date: July 30, 2002 - source: BWCS

Hutchsion 3G, the UK greenfield mobile operator, has reportedly admitted that customers to its 3G service may suffer connection problems. The story first surfaced in the UK Sunday Times under the headline “Hutchison Admits to 3G Problems.” The newspaper quotes the operator’s handset suppliers, NEC and Motorola, as saying that connection problems are unlikely to be solved until mid-2003.

So far, Hutchison has not officially commented on the reports. However, parent company Hutchison Whampoa, has organised a press conference for later today. It is thought that group MD, Canning Fok, will want to put his company’s side of the story. Hutchison 3G initially plans to cover only major urban areas in the UK with 3G base stations and, it is thought, this could lead to problems with dropped calls as customers roam between GSM areas and 3G coverage areas.

The Sunday Times report has dealt a further blow to 3G’s credibility. Doubts about the readiness of 3G systems contributed to last week’s decision by Telefónica and Sonera to pull out of their German 3G joint venture. Furthermore, as NTT DoCoMo’s 3G service in Japan continues to make slow progress, new technologies are emerging to threaten 3G’s future. One such service is the software developed by Oplayo which reportedly allows GSM networks to carry video clips. Oplayo is supported by Nokia.

 


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ISBN: 0470847751
This book discusses 3G services from the view of what is needed for the service to provide value to the user, what is the value proposition for the user, how will money be made out of delivering the service, and discussions on how revenue sharing propositions might work to benefit content providers and network operators. 3G operators should take note of this highly recommended book.

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