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Technology Stocks : Nokia (NOK)

NOK 6.810

-4.8%

Nov 4 3:59 PM EST

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To: Puck who wrote (10206)	3/30/2001 1:59:59 PM
From: Ruffian	Read Replies (1) of 34857

GPRS glitches could delay rollout Karl Cushing It is feared that the rollout of the GPRS network may be delayed even further due to technological problems. In a clear case of history repeating itself, operators are still trying to resolve a technical glitch in the system that could jeopardise the entire rollout. It is believed that the problem concerns the so-called ‘hard handover’ between base stations – similar to a problem that dogged the early days of the GSM network. Hard handover refers to a problem that occurs as the mobile phone user crosses the boundary between areas or ‘cells’ covered by different base stations. Mobile operators in the UK have been marketing GPRS with the promise of ‘always-on’ connectivity for mobile phones. If users were to lose this connection every time they switched between base stations, GPRS could be viewed as unreliable. Another problem with GPRS, dubbed ‘cell breathe’, means that although performance is good when only one only one user is in the base station’s coverage area, data rates fall when other users enter the cell. Data rates of around 13kbit/s have been achieved with a single user in a cell but when more users enter the area the capacity is shared and rates plummet to levels that would make accessing the Internet on a GPRS handset farcically slow. Splitting the capacity in this way would also weaken the strength of the broadcast, leading to the possibility of signal loss and increasing the likelihood of handover problems. According to the operators, GPRS networks are already in place and touting for business trade. However, if the glitches prove to be a real problem, it could have implications for GPRS rollout and could have a knock on effect for the uptake of 3G.

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