OXFORD, United Kingdom-While industry gurus and market survey reports continue to pour cold water on the likely success of third generation (3G) technology, Hutchison 3G and Tele2 seem determined to overcome the pervading gloom that hangs over the technology. Both firms have recently committed themselves to extra investments during 2003 so their burgeoning services will reap some rewards.
In the case of Hutchison 3G, the company said it will open three High Street stores to sell 3G handsets and actively demonstrate their capabilities. The company, which is currently trialing the service, is expecting a shipment of 100,000 terminals from NEC prior to Christmas. The plan is to use these devices to “seed” the market further in the hope that the pre-Christmas selling period will provoke people to purchase the service. However, while these NEC terminals are forecast to cost more than 800 euro (US$776), Hutchison 3G is thought to be considering a retail price of around 300 euro (US$291).
Meanwhile, Swedish operator Tele2 announced it will definitely increase its 3G investment in 2003. The company, which has a 3G network sharing agreement with Telia, said it plans to deploy the service early next year, which is in stark contrast to Orange and Vodafone, which have both requested delays to their 3G rollouts in Sweden (see related “Europe” news).
