Nokia and AT&T Wireless will extend their 3G collaboration to cover UMTS.
The agreement between Nokia and AT&T Wireless has thus far only covered work on Enhanced Data Rates for Global Evolution (EDGE). Under the new agreement, the companies will begin testing the Universal Mobile Telecommunication System (UMTS) and the protocols that enable voice, data and video services to run on an IP-based network.
The collaboration has already proved a productive one, as many project milestones have been achieved over the past year. If all goes to plan AT&T hope to have implemented the finished and perfected EDGE and UMTS technology by the end of 2003, though they must first validate some of the key technologies.
At present Nokia is a clear leader in the wireless solutions space and through this deal it has committed itself to improving the network infrastructure side of its business. Cooperation with AT&T will also serve to challenge the company’s troubled competitor, Ericsson, who has so far held the US market in a strong grip.
The worldwide future of wireless data is far from cemented and in the US prospects are even gloomier than in Europe, due to a fragmented market where even 2G has not taken off properly. However AT&T is relatively advanced in the data segment and both companies are aiming to push the sector onwards.
The rejuvenation of Nokia’s 3G vim may stem from the results of its mobile commerce consumer study, which were announced towards the end of last month. According to the results, more than eight times the number of people currently using eCommerce would be interested in mCommerce. Of these, nearly 90% would be willing to pay extra for the convenience of mCommerce. If these figures are accurate then 3G could truly revolutionize the commercial world. Nokia and AT&T Wireless are doing their best to prepare themselves to maximize the potential.
