Hutchison to order 12 million 3G handsets for next year
September 12, 2004
Following the surge in growth of its 3G mobile phone subscribers, Hutchison Whampoa has been reported to be in the process of buying 12 million handsets for next year.
The figure was quoted in the South China Morning Post.
Hutchison had ordered around eight million 3G handsets from LG Electronics, NEC and Motorola for this year.
Analysts say the new orders could mean Hutchison, which maintains
a policy to keep about two million 3G phones in stock, is targeting
eight million to 10 million new 3G users next year. They believe
that if Hutchison can sustain a subscriber rate of 22,500 3G users
a day, the eight million new users target for next year is very
much possible.
Hutchison has always insisted that there is demand for its service but the handsets have let it down. Bugs were found in earlier handsets and delivery delays of handsets from manufacturers in late 2003 hurt its Christmas sales.
NEC and Motorola have been supplying 3G handsets to Hutchison since
the service started in 2003, but it was LG that made the breakthrough
this year with the introduction of the U8110, a handset with similar
weight and size to 2G handsets. The arrival of the U8110 helped
raise Hutchison's customer acquisition rate.
Hutchison reported last month that it has signed up 3.2 million subscribers
globally. It also signed up 1 million subscribers in the UK, eight
months later then expected.
The firm is hoping to further to drive down handset costs through bulk buying. It is reportedly demanding handsets at US$300 each, against the $500 to $600 that it is paying now.
|
