Editor’s Note: The RCR Wireless News Time Machine is a way to take advantage of our extensive history in covering the wireless space to fire up the DeLorean and take a trip back in time to re-visit some of the more interesting headlines from this week in history. Enjoy the ride!
W-CDMA rollouts rev up in Europe
Several third-generation commercial launches were announced in markets across Western Europe last week, with market leaders Vodafone Group plc, Telefonica Moviles and Telecom Italia Mobile all beginning services in various countries. In Italy, Telecom Italia Mobile launched its EDGE and UMTS services May 24. The carrier, which is the largest wireless operator in Europe, said it would offer EDGE services by June in all regional and provincial capitals, with nationwide coverage planned by the end of the year. TIM is one of the first Western European carriers to offer EDGE services. It said it will offer 6230 and 3200 EDGE phones from Nokia Corp., and its UMTS devices will include the Sony Ericsson Z1010 and the Samsung Z105 U. … Read More
Partners to pay Wayport fixed price for Wi-Fi access at McDonald’s
Fresh on the heels of Cometa Networks Inc. shutting down its Wi-Fi service because investors couldn’t find a way to make money from it, Wi-Fi provider Wayport said it would start selling monthly subscriptions to partners offering Wi-Fi service at McDonald’s. In addition, Wayport will receive an upfront monthly fee from the fast-food giant. Wayport last week introduced Wi-Fi World, a new pricing model for its Wi-Fi-enabled McDonald’s restaurants in which service will be provided for a fixed monthly fee per location rather than using a per-connection rate. McDonald’s is Wayport’s first Wi-Fi World partner, although the company plans to solicit other nationwide retailers to become partners going forward, said Dan Lowden, Wayport’s vice president of marketing. … Read More
Cingular rolls forward with UMTS, Sprint considers 3G alternatives
Cingular Wireless L.L.C. used last week’s Lehman Brothers 2004 Global Wireless financial conference to announce its UMTS rollout plans, while rival carrier Sprint Corp. backed off earlier promises that it would wait for DV technology to roll out its high-speed data offering. Cingular said that due to its pending $41 billion acquisition of AT&T Wireless Services Inc., it now had enough resources and clout to move ahead with plans to test UMTS services in the United States. Cingular’s UMTS plans would align the carrier with AWS, which is currently scheduled to launch UMTS services in four markets by the end of the year through a technology-sharing agreement with NTT DoCoMo Inc. … Read More
T-Mobile takes Nevada, California from Cingular
Removing concern over its future network coverage, T-Mobile USA Inc. agreed last week to acquire Cingular Wireless L.L.C.’s California and Nevada operations for $2.5 billion, properties that are currently part of the carriers’ Empire network-sharing arrangement that also includes operations in New York. The deal, which is contingent on government approval of Cingular’s pending $41 billion acquisition of AT&T Wireless Services Inc., dissolves the network-sharing arrangement that was announced in 2001 and provides T-Mobile USA with control of an increasingly important piece of its nationwide network. … Read More
U.S. operators patiently watch camera-phone market develop
Camera phones are the most rapidly accepted consumer electronics device in history. Yet it appears that wireless carriers-a group many assumed would reap the rewards of a camera-phone revolution-are sitting on the sidelines of this mass adoption, watching and waiting. Annual sales of camera phones will grow from 18 million units to 189 million units during the next five years, according to one industry research firm. Another research firm predicts 70 percent of all handsets will feature an integrated digital camera by 2009. High-end camera phones now have resolutions rivaling that of standard digital cameras. … Read More
‘Idol’ sets new record in text messaging
AT&T Wireless Services Inc. announced it recorded a total of 13.5 million text message votes cast during the past season of reality TV show “American Idol.” The carrier said the number is up from last season’s total of 7.5 million text message votes-a sign that U.S. users are keen on text messaging services. “Our sponsorship of ‘American Idol’ is the seminal event that got mainstream America text messaging,” said Andre Dahan, president of the carrier’s Mobile Multimedia Services. “Over the past year, more and more television shows have incorporated an element of text messaging into their programming-and the entertainment industry isn’t alone in its desire to capitalize on this growing trend. Our success with ‘American Idol’ underscores our goal of making texting as common as talking on wireless phones.” … Read More
Carriers improve inventory management in 1Q
Wireless carriers made improvements in inventory management during the first quarter, according to a new study by InfoTech Marketing. While total cost of equipment sales rose, inventory levels fell by $195 million, near third-quarter 2003 levels, said the report. Days of sales tied up in inventory fell from 48.2 percent to 41.9 percent quarter to quarter. Ten carriers reduced their inventory days, while six increased inventory days, said InfoTech. … Read More
Chip shortage could give needed boost to Qualcomm competitors
For Qualcomm Inc., CDMA is a double-edged sword. Although the company has enjoyed a significant amount of prosperity in its efforts to expand the CDMA industry, its success seems to cut both ways as Qualcomm is now in the midst of a chip shortage due to overzealous market demand. Indeed, Qualcomm’s supply constraints may give rival CDMA chip suppliers a chance to break the company’s stranglehold on the market it helped create. … Read More
Adelstein: Nextel criticism of 2.1 GHz ‘unusual’
FCC Commissioner Jonathan Adelstein said he found Nextel Communications Inc.’s complaints about the 2.1 GHz band unusual because the carrier did not raise relocation concerns when it presented its first proposal to solve public-safety interference in the 800 MHz band in 2001. “I would note that 2.1 (GHz) was not Verizon Wireless’ initial idea, but Nextel’s, and it is unusual in light that it was Nextel’s original idea three years ago that they did not raise these concerns at that time,” Adelstein told reporters at a regularly scheduled press breakfast. He added that the Federal Communications Commission has relocation rules in place to prevent “spectrum squatting.” … Read More
Even with subs, questions remain on biz models at Leap, MetroPCS
With more than 2.5 million customers split between their two operations, Leap Wireless International Inc. and MetroPCS Inc. have proven there is a market for wireless customers willing to forgo the benefits of a nationwide footprint in exchange for unlimited flat-rate calling plans and no contractual obligations. The only question that remains is whether a carrier can offer such services and be profitable. During the past several weeks, both carriers released first-quarter financial results that followed significant company milestones. Leap released its first quarterly report since a financial restructuring initiated last year and a resulting Chapter 11 bankruptcy filing, while MetroPCS’ results proceeded a filing with the Securities and Exchange Commission regarding plans for an initial public offering. … Read More
