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Vodafone Maps Out Road To 3G

October 26, 2002 - source: BWCS

In a presentation to city analysts Vodafone yesterday mapped out the next phase of its mobile services strategy. The mobile group’s consumer services will centre on its Vodafone Live! multimedia content platform. This is being simultaneously rolled out on its networks in Germany, Ireland, Italy, Netherlands, Portugal, Spain, Sweden and the UK, with Australia, Greece and New Zealand to follow in 2003.

Drawing heavily on its experiences with J-Phone in Japan, Vodafone highlighted the importance of the user-friendliness and standardisation of the Vodafone Live! interface, which consists of a simple colour screen menu. Pricing has also been simplified, with subscribers paying no monthly subscription but a per-kilobyte charge for data transferred and event-based charges for content downloaded.

Vodafone Live! will initially be available via three camera phones supplied by Sharp, Panasonic and Nokia. Vodafone expects to have more than a million handsets from these three vendors by March 2003. The mobile operator has so far signed up 250 partners to supply content for ten different service categories. Again drawing on the Japanese model, Vodafone is placing a major emphasis on delivering end-to-end content services, claiming that it is offering an ‘attractive’ revenue partnership for content providers.

While reiterating that 3G trials and launches were on schedule, Vodafone played down 3G’s role in its data strategy, emphasising that GPRS was core but UMTS would bring additional capacity and lower long-term costs. Interestingly, the presentation also placed increasing voice usage as its top priority in growing average customer revenues in the short term. It will also focus on developing a quality customer base of high usage subscribers and reducing subscriber inactivity. This would indicate a further drive to migrate prepaid customers to contracts.

In terms of the company structure, Vodafone indicated that it would not be expanding its international coverage for the next three years, but would instead seek to increase ownership of its existing overseas ventures. In parallel with this, the operator will continue to develop its standardisation of branding, services and best practice across all of its networks.

 


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