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3G or Not 3G? That Is the Question

04.03.2002
Von Kathleen Carr

2.5G Will take You there

Vendors in the United States recognize that 3G will not be ready formass consumption anytime soon. As a result, carriers such as AT&TWireless are beginning to offer 2.5G services--so named because theyoffer speeds that fall between 2G and 3G. At 2.5G, wireless users cantransmit text at fast speeds--up to 114Kbps, which technically puts itat the low end of 3G's capabilities. So some service providers haveopted to repackage their 2.5G offerings as 3G, blurring the linesbetween the two.

"You will get all the business benefits you need by embracing 2.5G,"says Wallin. "It's always on, it's dependable, and it gives you justabout the same bandwidth that you can get from 3G." Motorola's Altmanadmits that 2.5G is a more realistic aim for the United States in thenear term. "It is building the foundation for 3G," she says, "so thatby 2005, more than 60 percent of wireless devices in use will be 2.5G-or 3G-enabled."

Sprint PCS Group, however, claims it is ready to surge into the 3Gmarketspace. The carrier promises nationwide 3G availability bymidyear, according to Jason Guesman, director of business marketing,who's located at company headquarters in Overland Park, Kan. Sprintpurchased spectrum space in 1996 at what Guesman callsbargain-basement prices. It paid $3.4 billion--roughly one-third ofwhat it would cost today. Boasting a first-to-market advantage, Sprintclaims it is well positioned to provide customers with speeds of up to114Kbps--technically the low end of 3G's threshold. And because Sprintalready has its network in place, it says its customers can readilyupgrade from 2G to 3G simply by buying a new handhelddevice.

That said, when negotiating with vendors for wireless services, it'ssafer to speak in terms of bandwidth rather than generations, so thatyou can be sure you're speaking the same language and purchasing atechnology that your company truly needs.

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