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Launching 3G: Progress and Bright Prospects for WCDMA
Yankee Group, The, Sep 2004, Pages: 24
After talking about it for more than a decade, 3G is finally happening. By mid-2004, approximately 40 operators worldwide had launched commercial services, and the total should nearly double before the year’s end. Japanese WCDMA operators are now in their third year of operations, while Hutchison’s 3 has been commercially active for more than a year. 3G will not happen overnight but will be a gradual process of migration and evolution. Industry players must work together to resolve the remaining handset and network issues. Operators must push video-based services as a crucial differentiator and value enhancer. Service pricing for both voice and data services is in a state of flux and must find new market equilibrium.
New WCDMA operators, data services and handsets will reinvigorate mobile markets in Europe and the Asia-Pacific region. The number of WCDMA users worldwide will rise from 2.1 million at the end of 2003, to 361 million by the end of 2008. By then, 43% of all mobile users in Western Europe will use 3G, with Japan and China accounting for nearly a quarter of the world’s WCDMA users.
This report assesses 3G market progress, operators’ launch strategies and rationale, and the factors behind their success or failure. We also provide recommendations on handsets, coverage, content and pricing, and offer updated
projections for 3G users and handset sales.
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