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- 3G networks should be fully
operational in 2-5 years. The interim 2.5G networks will be good enough
for many basic multi-media applications where use of graphics is
to enhance the current wireless data application user interface.
Analysts predict that rich
multi-media applications will be affordable in terms of capacity and
price only in the future.
- There is concern that a reliable
3G national footprint will take longer than industry forecasts. There is
significant market development work, business case work for huge
investments required and finally engineering work for implementing
networks. Each step takes time. In 1999, analysts predicted
significant progress by 2003. Current predictions are for 3G coverage only in
high-population areas by 2005.
- There remains a lack of uniform standards and differences
in technologies being employed especially in North America. CMDA
Development Group was formed to promote the CMDA technology and there
is similar support for the competing technologies. In 2000, the International Telecommunications Union unanimously agreed upon a the technical
specifications for third generation systems. These standards are listed
under the brand IMT-2000.
- Consumers should be cautious
about choosing a wireless network. No single network
technology or operator will meet all your wireless network needs. Perhaps hybrid network strategy is your best bet.
- North America may not follow
the recommendations of the ITU and may therefore continue to have multiple
technologies and standards ñ Analysts predict that Europe will stay ahead for the next
four years. 3G standards will be adopted earlier in Europe and Japan
before North America.
- Wireless multi-media applications must be carefully
analyzed from business case point of view. Only selected few
applications will become affordable on projected cost structure.
However widespread use of wireless multi-media as a general-purpose
business application will stay as a target opportunity for the next
6-8 years.
- Wireless network providers
need to embrace these networks quickly. Competition will be fast and
heavy
- Industry analysts suggest
pricing 2.5 G and 3G wireless data services low or breakeven to gain
market share and maintain critical mass.
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