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3 launches UMTS service in Sweden

Hutchison’s 3 is one of the European carriers to blaze the trail for third-generation UMTS technology with a launch of its services in Sweden, emphasizing mobile video communication.

“We offer today mobile video and other advanced services at attractive prices for the frequent user of mobile communication,” said Fredrik Landahl, marketing director of 3, at the launch.

The equipment is solely provided by L.M. Ericsson, according to company spokesman Rob Elston. NEC Corp. is the handset supplier and inventory is running low, according to the carrier.

“Demand exceeds our supply of handsets,” said 3 Chief Executive Officer Chris Bannister. “Only when things are right there will we really open up across Sweden.”

The launch follows the latest trend among Hutchison’s carriers, which have also announced launches with the same 3 brand name in Italy and United Kingdom.

The Swedish carrier, which is also a startup, will square off against such heavyweights as TeliaSonera AB’s Telia, Tele2 AB’s Comviq and Vodafone Sweden. 3 is hoping to differentiate itself with its video offerings, the peg of its marketing campaign.

“We are the first to provide mobile video communication, and others will follow us,” said Banister. “We have started to develop the usage in all aspects from child health care, sport and business.”

The launch of UMTS services in Europe has been delayed owing to network, handset and regulatory issues. The delay led the continent to talk up EDGE as an interim offering for high-speed data.

The carrier is targeting the top fifth of the Swedish mobile subscriber base.

“We know the tariffs here will appeal to about 20 percent of the people,” said Bannister.

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