[CNN] Fast 3G service coming to US cell phones
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- 2002-12-28 18:05
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TOKYO (Reuters) -- Japan's dominant mobile phone company DoCoMo said on Thursday it will begin offering third-generation (3G) wireless data services in four U.S. cities with AT&T Wireless Services Inc by December 2004.
The service, which offers high-speed Internet access and face-to-face video calling, will be launched in San Francisco, Seattle, Dallas and San Diego.
It will be the first deployment of 3G wireless data services based on the high-speed W-CDMA (wideband code division multiple access) format, DoCoMo said.
Driver for growth?
NTT DoCoMo Inc. has until now struggled to attract customers to its year-old 3G service, the world's first using the W-CDMA format, but has expressed high hopes that it would become a new driver of profit growth.
Despite features like face-to-face video phone calling and fast downloading from the Internet, users have been put off by frequent battery recharges, a limited coverage area and high handset prices.
To tackle these obstacles, DoCoMo this month rolled out 3G mobile phones with a much longer battery life -- 170 to 180 hours in standby mode compared with 125 hours in its last model -- and promised more improvements next year.
International roaming expected
DoCoMo's 3G network now covers over 80 percent of Japan's population and is set to reach 90 percent by next March.
Rival KDDI Corp's 3G phones typically last up to 200 hours or more between recharges, and with its wider coverage the number-two mobile operator has amassed four million 3G subscribers compared with around 150,000 for DoCoMo.
DoCoMo aims to roll out 3G services with international roaming, which would let subscribers make calls overseas.
Mapping a rollout plan
Under the latest agreement with its U.S. affiliate AT&T Wireless, the two companies will set up a special committee to map out 3G rollout plan.
In addition, another DoCoMo official will become AT&T Wireless's director, underlining a larger direct influence on AT&T Wireless.
Hit by soured overseas investments including its investment in AT&T Wireless, NTT DoCoMo posted a 95.3 percent fall in half-year net profit in November.
DoCoMo shares gained 1.38 percent to 220,000 yen before the announcement, underperforming the 2.34 percent rise in the Nikkei 225 share average.
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Copyright 2002 Reuters. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
The service, which offers high-speed Internet access and face-to-face video calling, will be launched in San Francisco, Seattle, Dallas and San Diego.
It will be the first deployment of 3G wireless data services based on the high-speed W-CDMA (wideband code division multiple access) format, DoCoMo said.
Driver for growth?
NTT DoCoMo Inc. has until now struggled to attract customers to its year-old 3G service, the world's first using the W-CDMA format, but has expressed high hopes that it would become a new driver of profit growth.
Despite features like face-to-face video phone calling and fast downloading from the Internet, users have been put off by frequent battery recharges, a limited coverage area and high handset prices.
To tackle these obstacles, DoCoMo this month rolled out 3G mobile phones with a much longer battery life -- 170 to 180 hours in standby mode compared with 125 hours in its last model -- and promised more improvements next year.
International roaming expected
DoCoMo's 3G network now covers over 80 percent of Japan's population and is set to reach 90 percent by next March.
Rival KDDI Corp's 3G phones typically last up to 200 hours or more between recharges, and with its wider coverage the number-two mobile operator has amassed four million 3G subscribers compared with around 150,000 for DoCoMo.
DoCoMo aims to roll out 3G services with international roaming, which would let subscribers make calls overseas.
Mapping a rollout plan
Under the latest agreement with its U.S. affiliate AT&T Wireless, the two companies will set up a special committee to map out 3G rollout plan.
In addition, another DoCoMo official will become AT&T Wireless's director, underlining a larger direct influence on AT&T Wireless.
Hit by soured overseas investments including its investment in AT&T Wireless, NTT DoCoMo posted a 95.3 percent fall in half-year net profit in November.
DoCoMo shares gained 1.38 percent to 220,000 yen before the announcement, underperforming the 2.34 percent rise in the Nikkei 225 share average.
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Copyright 2002 Reuters. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
