3G Growth Is Accelerating

US : Yankee Group reports that mobile operators are seeing 3G customer growth after a sluggish start. As the 3G handset range continues to improve and usage charges are further reduced, 3G will become a more attractive alternative for European consumers and business users.

In the recent report, European 3G Market Gains Momentum, Yankee Group reviews mobile operators' results from the first half of 2005 as a lead indicator that the 3G market is showing signs of growth. Companies evaluated in this report include Orange, TIM, Optimus, TMN, SFR, Vodafone, Telefonica Moviles and H3G. The report also summarizes the companies' 3G customer projections and, for some, details the positive impact rich data services are having on 3G adoption rates.

"The usage statistics for 3G content services are particularly encouraging," said Declan Lonergan (inset), director, Wireless/Mobile Europe. "Although some of these services are offered as special promotions to encourage 3G adoption, there is nonetheless a healthy appetite for rich 3G content among certain early-adopter customer segments. Mobile TV is one of the most promising of these services."

There is good cause for optimism about 3G. The greatest challenge the technology has faced is that expectations surpassed reality. Recommendations for operators include focusing on mobile TV and using 3G to enhance competitiveness in the enterprise mobility voice market. More details on 3G’s progress can be found in European 3G Market Gains Momentum.