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Telecoms to launch limited 3G
services
SEOUL - Two South
Korean cell phone operators are set to start
third-generation (3G) mobile services based on
European-backed technology late this month, according to
the companies.
The wideband code division
multiple access (W-CDMA) network, one of two main 3G
technologies available, offers access to the Internet,
music downloads and streaming video at five to 25 times
the speed of current second-generation (2G) mobile
networks.
If SK Telecom Co and KTF Co launch the
new service as planned, it will make South Korea the
fifth nation to have the 3G network, after Japan,
Britain, Italy and Australia.
But, this month's
commercial debut is not what the two carriers had
previously promised. In final test-runs, users
complained of spotty Internet connections with bulky
handsets. Besides short network coverage, those
attempting to make voice calls grapple with drop when
they are on the move.
Adding to the problem is
expensive handset prices. Currently only two handsets,
manufactured by Samsung Electronics Co and LG
Electronics Inc, are available. The cost ranges from
800,000 won (US$674) to 1 million won, the companies
said.
"In terms of speed and quality, the W-CDMA
service isn't different from the current high-speed cell
phone network," said Cho Shin, vice president of SK
Telecom, South Korea's biggest mobile phone operator.
SK Telecom has been selling faster mobile phone
service based on CDMA2000 1X EV-DO (evolution data
optimized). The technology, an offspring of Qualcomm's
CDMA network, is now competing with W-CDMA for the 3G
technology standard around the world.
The EV-DO
service also gives customers speedy Internet access,
e-mail and full-color digital photos on their cell
phones. However, by the end of October, the number of
EV-DO customers had only reached the one-million mark,
SK Telecom said.
"Due to handset shortcomings
such as short battery life and potential software
glitches, I think the W-CDMA adoption rate is not what
we formerly expected," according to Cho.
The
Seoul-based company plans to start limited 3G commercial
service in Seoul and surrounding areas starting December
29. "We plan on conservative marketing in line with the
launch," Cho added.
On the same day that SK
Telecom rolls out 3G service, its rival KTF Co, a mobile
arm of fixed-line giant KT Corp, will begin commercial
W-CDMA service.
The introduction of W-CDMA has
been delayed, mainly because of scanty handset
availability and a poor business perspective.
Pressured from telecom equipment makers, which
have been saddled with financial difficulties following
delay of the W-CDMA launch, the Ministry of Information
and Communication has urged SK Telecom to begin the
commercial service by the end of this year.
In
order to boost sales of the new 3G service, the
government is considering allowing handset subsidies for
W-CDMA handsets.
However, some skeptics question
whether the two carriers will make good on their
promises regarding W-CDMA service because in December
2000, the ministry sold business licenses for the W-CDMA
network to SK Telecom and KT for 1.3 trillion won each.
(Asia Pulse/Yonhap)
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