GSM vs 3G

April 16, 2008 10:53 am 10 comments

Share this Article

Author:

Around a decade ago, GSM was the latest ‘in’ thing in the world. It promised superior quality and strength over traditional TDMA/CDMA systems and a host of other benefits. It became so popular, that over 3 quarters of the world embraced it! SMS’ing became a curiosity, then a fashion statement and then a need. So much so, that it started representing the lifeblood of communication among many.

Today, its 3G. Promising a high speed data bandwidth and a multitude of benefits, 3G is poised to take over as the dominant mobile technology. The only thing is, it is being sidelined by the incumbents, especially in Pakistan! They’ve invested way too much and do not want anything to take over their revenue stream. The situation is not so different as it was in the US when GSM was launched. The incumbents were too rigid to allow a new technology to come in, and as a result, the US telecom market is shaped very differently from the rest of the world.

The thing is, with the advent of a 3G spectrum, two things can happen.

1. Existing operators would upgrade their networks and add 3G capability. I really dont see that happening anytime soon, since quite a few of them are still in the process of expanding their reach and capacities.

2. New operators would appear to tap the gap.

The second step was being railroaded in the past couple of months, ever since the topic of 3G came up. The thing is, the mobile operators are a strong party, which can twist the arm of law makers into their favor. Or atleast they thought. The PTA has been surprisingly proactive in making sure unfair practices are not done by these giants. The latest blow, or so it seem, was to allow them 9 months, instead of the 2 years they were demanding, for auctioning of the 3G spectrum in the country. The PTA has finally decided to go ahead with the auctioning of the 3G spectrum late this year and have new operators and service providers compete and bring this technology home.

In any event, we should expect to see some form a rollout between 2009-2010 of 3G services and service providers, opening a whole new door of opportunities and economic activities.

Share :
  • Print
  • Digg
  • del.icio.us
  • Facebook
  • Google Bookmarks
  • email
  • Twitter

Facebook comments:

10 Comments

  • I might have to eat my words within the next 10 years but I’ll risk it…

    Without creating localized content… High speed data currently has no market within Pakistan!

    If you don’t have people who need the water (its an analogy!!)
    No matter how big a pipe you bring in it won’t work!!

  • I sorta agree with you Spark. There is a huge market in Pakistan for mobile content providers. I am surprised that no one has actually tapped it yet. ;)

  • Do remember that most of Pakistani population is still trying to coup with things like MMS and voice sms etc hence it will take time for mobile content but the trend has been good.

    3G is an excellent option for country like Pakistan where we have been struggling to get decent bandwidth for too long. If its done correctly!! it can very well become a decent option for high speed Internet connection.

    Etisalat in Saudi and Dubai launch 7.2 mbps connection with full mobility (USB card) and home router for a flat rate (with data cap of course).

    The opportunities are unlimited however don’t expert a 3G coverage across Pakistan. Not to mention it will encourage fair competition in broadband Internet segment and end user will have more options.

    /Majid

  • Majid,

    I respect that the broadband internet users would get another choice in addition to Wimax, Landline DSL and E1/T1s…. but with competition the revenue returned would thin up….

    3G i.e. Mobile broadband’s market is not the corporate world. It is meant to be used by the common man and what uses does a common man of Pakistan has for such high speed data connection? A study of the common GPRS data usage in Pakistan would give you the answer to this!

  • majid: on the mobile front, the only problem why MMS has not gotten upto speed is the capability of cell phones.

    for the masses (especially after the cellphone snatching epidemic) cheap cellphones were the order of the day just to keep in touch. hence you have 2000-3000 rupee cellphones without any expanded internet services in the pockets of the people (e.g. nokia 1100 and LG KG270).

    these masses are the target for high data services, yet they’re going without them.

  • Spark: Pakistan is a low ARPU country in the first place hence the operators and vendor have different strategies in these markets. Its not all that profitable but even then we have seen foreign companies doing huge accusations in Pakistan for the sake of market share and diversification. 3G wouldn’t be the first choice for corporate user but if you DSL keeps flapping then it would give you a different means to continue with your business as some service is better then no service. Cisco and other vendor have 3G based routers now up for offering.

    Mansoor: If the handsets are the issue then we can forget about 3G penetration into masses. Another reason that comes to my mind is literacy rate in our country is quite low hence for most of users the most they can do is SMS but as we move along this might see a big of shift or subscribe to VAS services by calling call center. If this

    On same note Nokia today announced plan for 4G(LTE) based handset http://news.bbc.co.uk/2/hi/technology/7348706.stm

    /Majid

  • 3G might be a long way for now, but someone is stepping on the gas already.
    I was sending an MMS an hour ago and found that my cell phone is showing an EDGE connection instead of my usual GPRS. Yup guys, Warid is testing EDGE in Karachi atleast. Good news soon….?

  • hi
    i am doing a little research on 3g, can any one tell me what will be the consumer behavior, if 3g is launched in Pakistan. Plus will people will going to accept it?

  • check out Motorola’s website i think the report is titled “3G generation is here”. might be of some use..

  • Hello everyone, i am currently working on a telecommunication project in TCS, with a special focus on 3G.
    Folks, this seems to be a total pakistan oriented discussion out here.But a topic like 3G requires a universal outlook.so, it would be really great if the every body in this discussion board can throw in some light on the global performance and current scene of 3G services.

Leave a Reply


*

Recent Posts

  • General Qurtaba takes their Urdu App to Kindle

    Qurtaba takes their Urdu App to Kindle

    Team at Qurtaba have added another front to their impressive Urdu language based apps, they have launched their Alif Bay Pay app for Amazon Kindle, as well. Earlier it was released on iTunes.

    I love what Qurtaba are doing in a niche area of Urdu Language. Although their start was from Nan-Map for which they now have an iPhone App.There love for Urdu language related apps has been flourishing in recent months. Most of their apps are doing very well on app store, some impressive numbers for their popular Urdu apps are as follows.

    Urdu Writer: 10K downloads in 3 months – average 200 downloads…

    Read more →
  • Featured Startup General Food Connection Pakistan

    Food Connection Pakistan

    I happened to be in Quetta on a business trip last month with no idea of where to dine alone. Being a typical Lahoriite, a die-hard food lover, it matters to me that I try the best food of the place I visit. So this is where FCPakistan came to my rescue. I simply logged in, typed in my desired specifications and got atleast 5 suggestions.

    The listing included their opening times, specific facilities like ease for physically disabled customers, credit card acceptance, smoking areas, take away facility, whether valet parking was available or not, and even directions to get there! What more could you want.

    Although that was the…

    Read more →
  • Featured Startup General FourQuants.com Jawwad Farid’s new venture

    FourQuants.com Jawwad Farid’s new venture

    If you have any thing to do with entrepreneurship, its impossible you have not come across Jawwad Farid either in person or in virtual world of his blogs and judging different events realting to startups in Pakistan.  He is also the author of Reboot which we reviewed a while back.

    Jawwad has been writing on Finance, Risk and Treasury for some time now on learning corporate finance.

    I guess that has lead to  FourQuants.com. FourQuants helps people understand concepts related to finance. Following topics are mentioned in about us section of the website

    • Risk management
    • Derivatives products
    • Option pricing models
    • Basel and capital adequacy regulation
    • Financial modeling
    • Treasury

    Read more →
  • Coffee Session General Marketing/Adv OLX Pakistan Investing heavily in advertisement

    OLX Pakistan Investing heavily in advertisement

    OLX is a global online retailer and auction site. They have an impressive footprint in a little less than 100 countries, each with their own specific domain (like .pk for Pakistan and .in for India).

    In Pakistan they have been operating under olx.com.pk for some time with people using it to sell things online.

    Recently they have started advertising heavily on Television, a medium seldom used by online businesses previously. The ads (two of which have appeared ) are witty and fun to watch.

    The most important factor of these adds is that they are being advertised on media which previously none of our online businesses have used.

    Most of…

    Read more →
  • General TiE, All Asia Business Plan Competition

    TiE, All Asia Business Plan Competition

    Round 1 of TiE is about to reach its completion on 22nd of Jan, 2012 at Marriott, Islamabad in which ten teams will participate. Four teams will be shortlisted for the level 2. I also had the opportunity to participate in TiE All Asia Business Plan Competition 2012 along with my team members in the first few stages of level 1. Although we didn’t have the chance to go beyond stage1 but just participating helped us understand our own idea better and to polish our proposed technique along with development of a solid business plan. TiE all Asia Business Plan Competition provides a platform for generation and development of new…

    Read more →
  • Announcements General Mobile Apps Software & I.T. TenPearls Launches Multi-Platform Mobile Apps for Dawn Media Group

    TenPearls Launches Multi-Platform Mobile Apps for Dawn Media Group

    TenPearls has announced the successful delivery of mobile apps for Dawn.com on multiple platforms,   including Apple iOS (iPad and iPhone), Android and Symbian (Nokia). The mobile apps have received great feedback from the users from around the world. It may be worth mentioning here that DAWN.COM is the #1 English News website from Pakistan averaging over 16 million page views a month, and 3.1 million unique visitors from around the world.

    More details can be accessed at mobile apps for Dawn Media Group by TenPearls.

    Read more →
  • General Second Pakistan Blog Awards by CIO Faces severe criticism

    Second Pakistan Blog Awards by CIO Faces severe criticism

    CIO Pakistan started blog awards last year. Its is a good sign when some one takes initiative and starts some thing new. However its also difficult to introduce this into an already budding field of new media in Pakistan. Last years (or two years back now since its 2012)  Awards were initiated so as it is expected it faced initial growing up pains. It always takes time for such thing to wins the trust of the community. And bloggers are one of the most hard people to win over, most of these are rebels in their own rights people who have started blogging to show the world their opinion…

    Read more →
  • Featured Startup General Do We Vote : A great statistical tool by PakReport.org

    Do We Vote : A great statistical tool by PakReport.org

    Pakreport.org a tool which was instrumental in gathering statistics during the massive flooding in Pakistan, has created another study/stats gathering tool for our electoral activities. Interestingly its called do we vote

    With political scene in Pakistan heating up it provides very valuable information to party supporters and their leaders.  A quick look at it shows the all known facts that people in rural areas take their voting more seriously than all of us supposedly educated and enlightened urban population.

    Pakreport.org was an initiative launched by Faisal Chohan of BrightSpyre during the floods, the effort enabled people on the ground to send sms (the most spread out communication medium in country)…

    Read more →
  • Featured Startup General Stay for the work not the perks

    Stay for the work not the perks

    This is a revelation that came to me when I recently quit my comfy corporate job for the second time. If you are below 40 and some one asks you about how is your job going and your answer is not in tune of “I like my job because I love the work”. 

    You need to pause and asses your career, last time I answered this question my answer was “I like the job, because the benefits are good”, and that made me think (offcourse there were other factors as well). But if you are doing a job in which to satisfy your own self you have to look at…

    Read more →