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2.5 and 3G Deployments - report

November 10, 2003

Delays in commercial deployments of 3G networks and in delivery of 3G handsets does not suggest the failure of 3GSM (formerly called W-CDMA) as a technology or as a business, according to a recent study from Probe Group LLC. Research Director David Chamberlain, author of the study said, "At this time, we should be practicing the same patience being demonstrated by the carriers and a growing number of regulators" Outside the Americas, Probe believes, 3G will ultimately become the dominant mobile network.

Chamberlain also cautions that the success of 2.5G networks such as GPRS could act to further delay deployment of true 3G. "On the 3G 'battlefield' carriers might regard 2.5G the way any commander regards the weather: having the potential to become a powerful ally or a remorseless enemy," Chamberlain says. 2.5G networks are actually giving carriers an opportunity to judge just how much subscribers are willing to spend on non-voice and non-SMS services.

According to Probe's data, the point at which 3G networks will have sufficient customers to make its presence felt by global markets won't come until some time in 2007. That date is significantly more pessimistic than previous Probe forecasts. However, due to the gradual nature of customer acceptance, Chamberlain believes that most of the infrastructure will be in place and tested by that time and the carriers will be ready for the increased customer loading.

In the latest Wireless Internet Services and Networks report, "2.5G and 3G Deployments," Probe examines the ongoing GSM vs. CDMA battle and covers the developments in Japan, Korea, China, The Americas and Europe and shows the commercial deployments and subscribers with forecasts to 2008.

This report is part of the Wireless Internet Services and Networks (WISN) series, which covers the services that will drive customer demand and the network infrastructures that enable new services on 2G, 2.5G and 3G wireless networks. The service, directed by David Chamberlain, identifies key technologies and services and provides global forecasts of wireless Internet users, infrastructure spending, enterprise users and key enablers such as handset operating systems, Wi-Fi and Bluetooth.

 


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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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