3G in Europe

The International Herald Tribune writes:

European mobile phone companies spent $129 billion six years ago to buy licenses for “third-generation” networks that were supposed to give people the freedom to virtually live from their cellphones, reading e-mail, browsing the Internet, placing video calls, enjoying music and movies, buying products and services, making reservations, monitoring health – all from the beach, the bus, the dentist’s waiting room, wherever they were.

But today, most people use their cellphones just as they did in 2000 – to make calls – and the modest gains 3G has made do not begin to justify the massive costs of the technology, which has strapped some mobile operators financially, bankrupted entrepreneurs, spurred multibillion-euro lawsuits against governments and phone companies, and sapped research spending.

Over the long term, 3G runs the risk of becoming the Edsel of the mobile phone industry – an expensive, unwanted albatross rejected by consumers and bypassed by other, less costly technologies, some experts say.

Published by

Rajesh Jain

An Entrepreneur based in Mumbai, India.