Archive for March 2006

 
 

Sprint steps up 3G rollout

US Code Division Multiple Access (CDMA) operator Sprint Nextel yesterday stepped up aggressive plans for the expansion of its Power Vision 3G network.

The operator’s Evolution Data Only (EV-DO) network already covers over half of the US population with mobile broadband data services, and by year-end Sprint expects the network to reach an estimated 190 million people nationwide.

Sprint plans to roll out second generation technology upgrades later this year, known as EV-DO Revision A, which will bring speed increases and additional mobility benefits to users beginning in the first quarter of next year.

By the end of September 2007, the operator plans to reach about 220 million people in the US with its advanced network.

Sprint will market EV-DO Revision A compatible data cards in the third quarter of 2006, which will work on the existing EV-DO network until the next generation service is broadly available in the first quarter of next year.

Revision A promises peak download data rates of up to 3.1Mbps, compared to 2.0Mbps at present, and peak upload data rates of up to 1.8Mbps, compared to 144Kbps.

Average download speeds should improve to 450-800Kbps, from 400-700Kbps, and average uplink speeds should reach 300-400Kpbs, versus 70-144Kpbs.

Faster data rates will enable richer applications and services such as enhanced video telephony, music on demand, video messaging, large file uploads and high performance push to talk capabilities.

DoCoMo, KTF form WCDMA committee

Second placed Korean operator KTF and leading Japanese mobile provider NTT DoCoMo launched a joint committee today, with the intention of accelerating their cooperative developments in the Wideband Code Division Multiple Access (WCDMA) space.

The Business & Technology Cooperation Committee will consist of six members – three from each company – and will serve as a channel for the operators to develop businesses ideas targeted at the WCDMA market, including international roaming prospects and joint development and procurement of handsets.

In December DoCoMo confirmed a comprehensive strategic alliance with KTF, including equity participation, under which DoCoMo invested approximately Won564.9bn (ВЈ320m) to acquire a 10 per cent stake in KTF.

KTF made an attractive proposition for DoCoMo, as the Korean operator operates a pilot WCDMA network as well as its CDMA networks. DoCoMo said that the nationwide deployment and early stabilization of KTF’s WCDMA network, using DoCoMo’s technical support, is key to achieving the objectives of the alliance.

Following tough conditions and high competition levels in the Japanese market, it seems DoCoMo has growth through international expansion very much on its agenda. The KTF deal marks DoCoMo’s largest overseas investment for some years now.

Nokia targets China with cheap handsets

The world’s biggest handset maker is trying to get bigger and it’s next target is the nascent markets across the developing world. The company on Thursday announced three new handsets for the biggest emerging market on the planet, China.

Nokia estimates the number of mobile subscribers to grow to three billion by 2008. As around 80 percent of this growth will come from emerging markets, China’s importance cannot be underestimated, the company said. Nokia “expects that Asia-Pacific and China will account for 50 per cent of the next billion subscribers”, it said in a statement.

The models the company hopes to crack the Chinese market with include the Nokia 1112, 2310 and 2610, which are all expected to arrive on Chinese shelves in the April-June quarter.

The phones are expected to cost between Eur 45 ($54) and Eur 75 without subsidies and taxes. The 2610 can accept emails while the 2310 has an FM radio.

The move into China is an important one for Nokia which has enjoyed significant revenue growth from emerging markets. Although cheaper phones may reduce the average selling price of its handsets, that describes a key reason to strike the market early and establish itself as a player there.

Liz Hall, principle analyst at Telecoms.com’s parent, Informa Telecoms and Media said: “China is forecast to generate over 330 million new mobile handsets sales over the next three years. A large proportion of these sales will come from low-revenue generating users who have a limited budget to spend on a new handset. To retain its number one position in the Chinese handset market against competitors such as Motorola and its ultra-low cost handsets initiative, Nokia is going to have to sacrifice some of its margin in order to defend its overall market share.”