KTF to invest W200 bil. in W-CDMA
KTF, the country's second largest mobile carrier, said it will invest some 200 billion won in W-CDMA third-generation (3G) service this year. The figure is still preliminary, but analysts said the company appears determined to focus more on cdma2000 1x EV-DO service.
KTF's total investment for 2003 is estimated at 1.1 trillion won, which is little changed from last year. The decision to limit the W- CDMA service investment to 200 billion won suggests that it holds a conservative stance for the new 3G service.
KTF is currently offering EV-DO service designed to jack up the data transmission speed and kickstart mobile multimedia market. The EV-DO service is based on CDMA (code division multiple access) technology, developed by U.S.-based Qualcomm.
W-CDMA, however, is yet to be introduced by KTF and its rival SK Telecom later this year. W-CDMA is a 3G upgrade to GSM, or global system for mobile communication, which is widely favored by European mobile carriers.
Korea is now set to provide both cdma2000 1x EV-DO and W- CDMA 3G services, a dual standard that some analysts say might strengthen the country's competitiveness in both standards and yet lead to overlapping investment.
The uncertainty about W-CDMA's commercial potential compared with EV-DO is forcing KTF to remain cautious in terms of facility investment, analysts said.
KTF aims to post 6 trillion won in revenue for 2003, up 500 billion won from last year. It is also set to merge with KT ICOM, which is in charge of implementing W-CDMA service, by end-March this year.
2003.01.07
koreaherald.co.kr
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Are Korean wCDMA networks really showcase networks for Europe - where, ironically, wCDMA is slipping away into an unknown future?
KT ICOM's CEO Cho - who is the rabid wCDMA dog in Korea - appears to have had his budgetary bed short sheeted.
Even with virulent anti-American sentiment, is there a business case for expensive, slow, buggy wCDMA in Korea - where users are already accustomed to better?
Poor Cho! And I thought Hutchison's Li had a tough road in Europe.
LOL! |
