Monday, August 11, 2008

'3G is the next big step in mobile communications'

3G policy: What’s in it for customer, investor?

The third generation is finally here! Yes, 3G, the most anxiously awaited by telecom operators and subscribers has arrived. The higher speed that 3G provides will enable subscribers to download data much more quickly such as gaming, video calling and downloading video clips etc. But that’s from the side of the consumers. What does 3G hold for you, if you are an investor in telecom companies? “While all this sounds hunky-dory, there are big questions that operators will have to face once they launch services. Since India has one of the lowest average revenues per user (ARPU) globally, the demand for such services may be quite limited,” cautions Mr Prashant Singhal, Telecom Industry Leader, Ernst & Young. However, he provides a silver lining.

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