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Weekly Round Up and Comments

November 11, 2002

David Yuen - 11 November 2002

Our round up and comments of the past week's main stories from our editor.

******** THIS WEEK ********

- Hutchison contradict themselves on launch date
- A third 3G standard will complicate matters in China
- Gartner: operators ignoring consumers
- Reduction in W-CDMA royalty fees
- Nokia 6650 poll: confusion over 3G classification
- Romania going to grant licenses by end of year

****************************

>>> HUTCHISON CONTRADICT THEMSELVES ON LAUNCH DATE

The launch date of Hutchison's 3G services in Britain and Italy has featured in the news over the pass two weeks. After two weeks of speculation and rumours, we are still confused as to whether Hutchison will launch 3G services before the end of the year.

The FT reported on 3rd November that Hutchison would not launch 3G services before year-end. ". . . we cannot be absolutely certain we will be able to deliver handsets by December," Hutchison 3G UK was quoted as saying.

Then on Monday, Reuters reported Hutchison spokeswoman Nora Yong as saying, "Our plan remains unchanged. We hope to have paying customers by the end of the year."

Are Hutchison employees ill informed of the schedules or does the company themselves have no clue to its launch plans. It looks like there is turmoil in the internal affairs of the company.

Hutchison 3G of Italy still expects to take 3G handset orders via its website sometime this month, but rival operator Telecom Italia Mobile aims to beat Hutchison and plans to launch 3G services in Italy before the end of the year. If so it would spoil Hutchison's ambition of launching 3G first in Italy.

-- FT: Hutchison may miss 3G launch date (subscription)
http://news.ft.com/servlet/ContentServer?pagename=FT.com/StoryFT
/FullStory&c=StoryFT&cid=1035872956843
-- CNN: Hutch: No change in 3G plans
http://europe.cnn.com/2002/BUSINESS/asia/11/04/hk.hutch/

 

>>> A THIRD 3G STANDARD WILL COMPLICATE MATTERS IN CHINA

China is one step closer to developing its own 3G standard called TD-SCDMA, which has the backing of the government.

Datang believes the technology is more spectrum efficient in China and cheaper to implement, but you need to ask, is it really necessary to develop a new standard.

Chinese operators have not indicated whether they will implement TD-SCDMA technology, but the paths that some have taken suggests they will either implement CDMA2000 or W-CDMA networks. If operators do decide to deploy TD-SCDMA, they would most likely deploy it alongside one or more of the other standards, making China use all 3 standards.

In South Korea, operators have problems with deploying both W-CDMA and CDMA2000 networks. If China adds a third standard it would complicate matters even further.

Whether the course China has taken is correct or not, it seems China is trying to establish itself as one of the key players in the mobile industry.

 

>>> GARTNER: OPERATORS IGNORING CONSUMERS

A Gartner report suggests people use more SMS than email. Mobile phones have more influence on users than PCs, but the mobile industry has been obsessed by 3G technology and has forgotten the consumer. Adam Daum of Gartner said, "It does not matter how good 3G is if nobody knows or understands what they can do with it."

It is true that operators have done little in promoting 3G to the consumers, but since most operators are delaying their 3G launch, why waste money informing the general public this early when reliable services won't be available for sometime. Even if services are launched, handsets will be limited at the beginning so operators do not expect mass take-up anyway.

-- GartnerG2 Says Mobile Industry Obsessed By 3G, and Has Forgotten The Consumer
http://www3.gartner.com/5_about/press_releases/2002_11/pr20021105a.jsp

 

>>> REDUCTION IN W-CDMA ROYALTY FEES

An agreement between industry leaders NTT DoCoMo, Ericsson, Nokia and Siemens, will limit the royalty rates they charge for licensing their W-CDMA technologies.

It would help cash strapped telecom companies and lower cost for developing countries deploying 3G networks. Hopefully operators and vendors would pass on the savings to the consumers.

 

>>> NOKIA 6650 POLL: CONFUSION OVER 3G CLASSIFICATION

Fifty-nine percent of people voted in our poll feels the Nokia 6650 should not be classified as a 3G phone. Under the rules of the ITU, 3G phones must have a minimum transfer speed of 144kbps. If the specifications on the Nokia website are correct (data rate of 128kbps), it should not be called a 3G phone despite being WCDMA compatible.

 

>>> ROMANIA GOING TO GRANT LICENSES BY END OF YEAR

Last but not least, the Romanian government will award the possibility of four 3G licenses by the end of the year. After several delays and problems with license conditions, lets hope the issues are finally resolved.

-- Global Wireless: Romania to grant 3G licenses by year-end
http://www.globalwirelessnews.com/cgi-bin/news.pl?newsId=3504

 

****************************

All comments and suggestions are welcome. Please send them to davidyuen@3gnewsroom.com


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