The nation's major mobile operators are cautiously gauging the right time to unveil data-oriented third-generation (3G) services to avoid the problems facing Asia Pacific Broadband Wireless Communications (
Asia Pacific Broadband launched the nation's first 3G service last July but the company has failed to reach its target of 700,000 subscribers in the first six months.
"Asia Pacific Broadband's setback doesn't surprise us," said Stevie Chou (
"It's foreseeable that the money-losing telecom company will take longer to get on track due to slow customer demand," Chou said.
Against this backdrop, top telecom operator Chunghwa Telecom Co (
"We plan to launch the 3G services in the third quarter of this year after several postponements from the first quarter," said Shih Mu-piao (
Shih blamed limited supply of 3G-compatible handsets for the delays.
Taiwan Cellular is planning to launch its 3G technology in the final quarter of the year at the earliest, company spokesman Cheng Hui-ming (
"3G service pioneers are those who dare to risk the heavy financial burden," Cheng said.
Chunghwa Telecom plans to more than double the number of base stations to 1,800 by the end of the year and to increase the number to 2,800 next year, which will cost the state-run company NT$11.6 billion, according to Shih.
Taiwan Cellular, the nation's No.3 mobile carrier by subscribers, said it plans to spend NT$3.5 billion, up from an earlier estimate of NT$1.5 billion, on expanding its base stations to 1,650 this year.
Hong Kong-based Hutchison Whampoa Ltd (
But like its Hong Kong counterpart, Asia Pacific Broadband is struggling to reduce its losses.
To achieve its goal, Eastern Broadband Telecom (
"We have been working on a restructuring between the two companies. We haven't come to a final decision on consolidation yet," said Jessica Chou (
Despite the company's efforts to improve its bottom line, Lu Chia-lin (
Fewer handset choices than more popular W-CDMA technologies adopted by the other three companies and not-so-attractive services will continue to plague Asia Pacific Broadband before the multimedia-oriented services gain popularity in 2006, Lu said.
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