Singapore, Spain, Sri Lanka, UAE, UK
AMPS Argentina, Australia, Bangladesh, Brazil, Brunei, Burma,
Cambodia, Canada, China, Georgia, Guam, Hong Kong,
Indonesia, Kazakhstan, Malaysia, Mexico, Mongolia,
Nauru, New Zealand, Pakistan, Papua New Guinea,
Philippines, Russia, Singapore, South Korea, Sri Lanka,
Tajikistan, Taiwan, Thailand, Turkmenistan, USA,
Vietnam, Western Samoa
Second Generation (2G),
2G evolve in the year 1991, in Finland. Second generation mobile network system use digital radio transmission. Thus the boundary line between first and second generation systems is obvious: it is the analog/digital split. The second generation networks have much higher capacity than the first generation systems. One frequency channel is simultaneously divided among several users (either by code or time division). Hierarchical cell structures- in which the service area is covered by macro and picocells – enhance the system capacity even further.
There are four main standards for second-generation systems,: Global System for Mobile ( GSM ) communications and its derivatives, Digital AMPS (D-AMPS), Code Division Multiple Access (CDMA {IS-95}) and Personal Digital Cellular (PDC)
GSM uses the 900-MHz band is by far the most successful and widely used 2G system. PDC was eventually adopted by Japan.
Generation 2.5 (2.5G),
2.5G is a designation that broadly includes all advanced upgrades for the second generation networks. These upgrades may in fact sometimes provide almost same capabilities as the planned 3G systems. The boundary line between 2G and 2.5G is a hazy one. It is difficult to say when a 2G becomes a 2.5G system in a technical sense.
When the wireless industry realized that it was going to be costly and technologically challenging to upgrade to 3G networks, 2.5G emerged as an interim stage. These networks transfer data at speeds of up to 114Kbps, which is faster than traditional digital (2G) network. They are always on. A phone with 2.5G services can alternate between using nets, sending or receiving test messages, and making calls without losing its connection to the Internet and email.
Analysis of 3G Technology
In the old days, when all phones were fixed rather than mobile, making a call involved establishing a direct electrical connection between your handset and the one you were calling.
The same happens with 2G and 2.5G networks, but instead of setting up a dedicated circuit, a small portion of the airwaves are reserved for your call. This is a really bad way of dividing up the available airwaves because it means that the spaces and pauses in speech get the same priority as the words.
3G networks change all this. Instead of reserving airspace each conversation is chopped up into packets, each one of which is labelled with a code denoting which dialogue it is from.
The 'wireless literate generation' of today (aged 12 – 35) provides a snapshot of tomorrow's society and its drivers. The new generation is creating new usage patterns in favour of messaging and visual content. For them, messaging – e.g SMS text messaging is the most natural way of personal communication. Instant communication is about being able to create and consume content (greetings, notes, snapshots/ postcards, moving pictures, instant voicemail) on the fly, and about filling transit moments with meaningful experiences. The mobile phone has become a personal trusted device that is capable of life management and enrichment, thanks to higher data rates and evolutionary user interfaces that have increased the simplicity and usability of terminals. Traditionally the major service has been voice but there has been an evolutionary step in 3G from Short Messaging Service (SMS) to 3GPP – defined Multimedia Messaging, incorporating digital images and video clips with text or voice annotations.
Industry analysts estimate that vendors are currently allocating from $200 billion in research and development resources to specify, design and manufacture infrastructure for evolving 3G networks. Of the 3G licenses currently awarded, more than 90 percent of those operators have specified WCDMA as their core 3G technology. Observers point out that, given this expected dominance of WCDMA as the 3G standard, this technology will undoubtedly receive the majority of R&D funding and will yield the earliest, most extensive and most reliable product availability.
What is WCDMA?
WCDMA
Wideband Code Division Multiplex Access (WCDMA) is the radio frequency technology indicated for all UMTS (Universal Mobile Telecommunication Services) networks, and WCDMA is widely expected to be the dominant technology for 3G networks worldwide. WCDMA supports high capacity, multiple simultaneous services and bit-rate performance of up to 2Mbit/s. But as a wideband (5 MHz channels) technology, WCDMA presents deployment challenges when implemented on narrow frequency allocations.
When evaluating WCDMA infrastructure, operators should consider system solutions that provide well-established Third Generation Partnership Project (3GPP)-compatibility and that the resource allocation capabilities follow UMTS traffic class guidelines and Quality of Service attributes, allowing operators to optimize service differentiation.
Modular designs allow these solutions to scale quickly to meet escalating network traffic demands. These same design advantages will allow these WCDMA solutions to be adapted to meet the demand for location-based services, personalized messaging and packet data traffic volumes that will define the coming wireless IP networks. These advanced WCDMA systems will also support seamless integration with GSM networks.
3G - Concepts And Technology for Business
3G will be primarily driven by services and applications, not technology, although technologies such as Java, WAP, Bluetooth, SynchML and IPv6 have enabled third party application developments to meet users' end-to-end service needs and expectations. The Mobile Internet will bring an explosion in the number of new applications – a 3G hypermarket of services – creating new marketing and revenue channels.
Few business leaders are likely to turn down an opportunity to get an extra 10% of productivity from their mobile workforces, especially if it only costs a fraction of the reward. Third-generation (3G) wireless networks could facilitate this kind of return on investment (ROI) by extending desktop business-application, database, and intranet access into the mobile environment.
3G is an improvement over current networks, which deliver data and voice at no more than double the speed of dialup modems. The 3G infrastructure will eventually be able to transmit text, voice, video, and multimedia to a mobile handset with an always-on connection that is five times faster than a dialup modem. Initially, data-transfer rates may only equal today’s dialup modem speeds, but that is still fast enough to make wireless service attractive to businesses seeking efficiency gains.
Japan’s NTT turned on the world’s first 3G network in October 2001. Other mobile operators are conducting 3G trials in the United States and Europe, with plans to go live this year. The challenges include the complexity and costs of upgrading carrier networks and telephone handsets to handle 3G multimedia transmissions.
Companies that adopt 3G networking for their mobile workforces within the next two years should expect limited coverage areas and the typical problems associated with any emerging technology. recommends that company executives seeking 3G wireless connectivity should decide exactly why they want the service and pinpoint the efficiency points they need in order to recoup their investment costs in less than two years. Early adopters should measure the specific benefits of connecting mobile employees—reduced paperwork, faster collection of customer data, higher accuracy—and know which group of mobile employees will get the service first and why.
In Europe, if an operator does not move fast into wireless data (3G) then the market will start to move without it – threatening disintermediation for the laggards. At such, licences of the wideband connection, which carry new content-rich data and video-streaming services, cost up to US$10 billion in Italy and $45 billion in Germany respectively.(Source : Global Telecoms Business magazine).
In both Japan and Korea, there is also a significant raise in the subscription in 3G mobile usage, stimulating the economic movement in the countries.
In what ways can 3G networks be applied ?
Application and Advantages,
Multimedia Messaging
Multimedia Messaging Service, or MMS, is a messaging service for the mobile environment standardized by the WAP Forum and 3GPP. For consumers, MMS is very similar to Short Message Service (SMS): it provides automatic, immediate delivery of user-created content sent primarily from phone to phone.
MMS also provides support for email addressing, so messages can be sent to email. In addition to text, an MMS message sent to or from the Nokia 6650 phone can contain still images, voice or audio clips, and video. An MMS message is a multimedia presentation in one entity; it is not a text file with attachments. MMS delivers a location – independent, total communication experience and is a simple, logical extension of SMS, also providing a similarly solid and reliable platform on which the operator can build additional services and increase service differentiation.
Rich Call
Rich call is an audio conversation supported by concurrent access to an image or data and allows users to not only 'listen to what I say' but also 'see what I mean.' Multiple simultaneous media types such as messaging, voice and video games can be started and ended independently but without the need to obtain the information first and then call back.
Mobile Internet
Mobile Internet is not just today's internet accessed from a mobile device (although it will of course still be possible,) but instead applications will provide users with personalised, context – dependent and interworking applications. The scope of these services will cover areas such as information, entertainment, travel and personal information management. Many will be wholly or partly sponsored by advertisers, be location – aware and have mCommerce integration.
- Multimedia streaming and downloading
In 3G, enhanced bandwidth capabilities and advanced terminals enable video and audio, either real – time or near real time or download. Eg, two way video conferencing with audio, video streaming.
- Streaming Media Services
Audio streaming (eg MP3) is seen as the first widespread mainstream service to generate revenue through increased data traffic, attracting 'well off, music consuming and impatient twenty to thirty – something generation' consumers to subscribe to higher Quality of Service access. Although these services are available, to some extent, through 2.5G terminals and networks, the bandwidth vs capacity evolution suggests that the real enabler for mass market service is WCDMA radio access.
Streaming alleviates the need for a large memory resource in the terminal since only a small sample of the video or music data resides there at any one time. Copyright is also less of an issue because at no time is the entire data stored in the device.
Entertainment
There are two types of entertainment – passive and interactive (games and media ie TV.) Users will be able to connect to online multi platform gaming experiences or download, try out and purchase games. Handsets will allow inter operability though WAP, GPRS, Java and Symbian OS, making play possible across handset manufacturers.
3G Problems and Disadvantages,
As we have mentioned earlier on, 3G is not flawless. Japan NTT was hit with the lack of delicated applications written for broadband speeds of 384 Kbps and handsets were designed for voice-centric application. Many people had to carry 2 handsets to ensure national coverage.
Handset Problems, all the extra tasks will put something of a burden on the handset. At the moment screens on phones are small, they are difficult to type or get data into and they typically only work with one mobile phone technology. Third-generation networks might require bigger screens, especially if you download video clips, better ways to move data in and out of them, and bigger memories if you want to carry your MP3 files with you. The handsets themselves are likely to get slightly bigger to hold batteries to support these new uses and to include chipsets for existing mobile networks as well as the new ones.
In Singapore, the three 3G licence holders, namely Singtel Mobile, Starhub Mobile and MobileOne(M1), are bound by regulation with Infocomm Development Anthority (IDA) to complete their WCDMA rollout by Dec 31, 2004. If they did not comply, a fine of S$1.0million will be imposed. But according to vice-president of StarHub Mobile, “Although European countries have rolled out 3G, there has been much instability and even consolidation in the European 3G WCDMA market.” Pointing to the lack of 3G success stories across the world as a reason for caution. “ The risks in investing in 3G technology is still high!”. In addition, senior analyst of Mobile Communication,Gartner, also worry and concern that there is no clear and compelling business case to justify the upfront capital expenditure. Explaining that “ The technology is not yet mature and its complexity has been somewhat underestimated”
Generally, there is an uncertainty as to when the upfront investment on the infrastructure can be recovered.
M-Commerce
According to Durlacher Research, M- Commerce is defined as “any transaction with a monetary value that is conducted via a mobile telecommunications networks” (Durlacher 2000). A somewhat looser approach would be to characterize M-Commerce as the emerging set of applications and services people can access from theie Internet-enabled mobile commerce.
Mobile Commerce will not only be an extension of E-Business but will also adds consumer value through personalisation, mobility, availability and ease of use due to its ability to be instantly implemented. Ease of use, trustworthiness and consistency have been the main reasons for establishing the Mobile Electronic Transaction (MeT) initiative, which has created a framework for handling secure mobile electronic transactions via a mobile device whilst ensuring a consistent user experience independent of device, service and network. The object of the MeT initiative is to combat the challenges of keeping these facilities convenient and easy to use, a solution developed through evolving WAP with WAP Identity Module(WIM), Wireless Transport Layer Security (WTLS) and Wireless Public Key Infrastructure (W-PKI).
Above all. M-Commerce is about content and giving users access to a myriad of mobile services. Contents can range from news to directory services, directions, shopping and ticketing services, entertainment services, financial services and so forth. Possible sources of revenue include subscription fees, transaction fees, share of traffic charges collected by mobile operator, and various forms of sponsorship such as advertising, referral fees, and commissions. They can be combined in a number of different ways. However, one can generally distinguish between the following core business models:
- User Fee Business Models – charge users for the content they access.
- Subscription Fees
- Usage Fees
- Shopping Business Modes – similar to e-shopping. Using the mobile internet offers those selling companies an opportunity to reach a somewhat different audience.
- Marketing Business Models – mobile marketing is knowing your customer and leveraging that knowledge to deliver highly relevant messages; namely, messages that reflect their personal preferences as well as possibly their locations or other contextual attributes.
- Improved Efficiency Models – mobile Internet can cuts costs and improve customer satisfaction. It help make the company’s operation less human intensive, while offering customers the added convenience of anywhere, anytime access to a number of banking, trading and shopping services.
- Advertising Business Models – mobile advertising can present the users with ads that are directly relevant to queries they enter – when the user is looking for a place to eat, present him or her with coupons for nearby restaurants. Different types of incentives can help make users more receptive to promotional messages.
- Revenue-Sharing Business Models – generally involves collecting payment from the users and redistributing it across the different parties involve in delivering the services.
In Japan 3G had further enhance i-Mode in M-Commerce, i-Mode was able to ramp up from 0 to 30 million customers in less than 3 years. It suggests that when all the right ingredients are in place, M-Commerce can gain rapid acceptance.
Recommendation
Technology professionals nationwide have been buzzing about the advent of 3G, or third-generation, wireless technology. While 3G is a genuine technological breakthrough and certain to change the way business communicates, there is nothing mysterious about it.
3G is simply a faster, richer extension of existing wireless technology. Today, nearly 133 million Americans depend on a wireless phone and, according to research by Cahners In-Stat Group, an estimated 1.5 billion wireless-enabled phones, handheld computers and other devices will be in use globally by 2004. Wireless technology began with analog signals (first-generation) and advanced to digital (second-generation), the current standard.
3G is essentially the wireless industry's version of broadband Internet services, offering faster speeds and more mobile applications. Faster speeds enable enhanced messaging, e-mail with attachments, enriched gaming, video and audio clips, high-speed Internet browsing and digital imaging. These are common applications in the wired desktop world. In short, 3G allows people to take more of their personal technology and business tools with them when they're away from home or the office.
Many have questioned the market for 3G wireless services, and it's a valid question. It will be incumbent on wireless carriers to prove new devices and applications are worth the extra money. There will be a strong return on investment for 3G. There is tremendous value in simply extending existing desktop business applications, such as e-mail, intranets and customer account information, to the wireless world.
But 3G is much more than mobile e-mail. The introduction of digital imaging will allow "on-location" professionals, such as insurance adjusters and Realtors, to do their jobs faster and more efficiently. Imagine the sales advantage for a Realtor who is able to show a home buyer photos of a potential dream home the moment it goes on the market. Or for an insurance adjuster who can transmit photos of an accident to the home office to secure a settlement in minutes. Other new applications will use global positioning system (GPS) chips to support location-based services, making it possible to identify the location of a cell phone when it is turned on. Businesses will be able to use this technology to track their fleets and personnel, thereby boosting efficiency.
Imagine a situation where you are about to make an important Sales Presentation. You realize that you have brought the wrong presentation slides and you call up your colleague. She immediately emails the file to your 3G terminal and you transfer it to your laptop. Another scenario is having video-conferencing and sending character-based messages simultaneously with your clients.
These scenarios are possible with the availability of 3G technology. But what is 3G technology and how will it revolutionise current HR and commercial practices?
A relook at Workplace Dynamics
The WearTel (TM) phone, for example, uses EyeTap technology to allow individuals to see each other's point of view. Therefore, the miniature laser light source inside the WearTel eyeglass-based phone scans across the retinas of both parties and swaps the image information, so that each person sees what the other person is looking at.
This technology will enable the HR manager to have a better understanding of how to motivate and reward their employees as personal documentaries of their work-life will be shot from a first-person perspective. HR managers can provide better advice about handling difficult customers or closing sales. However, the immediate benefit is that this technology can be used as a training tool. The reason is that privacy laws have to be reviewed and updated in order that customers are adequately informed of this technology.
Mobile Job Interview
With an attached camera in a mobile device, job interviews can be conducted as video-conferencing between the HR manager and the potential job applicant. Initially, the job candidate can answer basic questions like his highest qualification and salary expectation by pressing the key-pad of the mobile device. If successful, he can proceed to have a face-to-face interview.
Mobile Advertising
3G technology will enable advertisers to send more sophisticated and customized permission-based advertisements to their target audience’s mobile devices. This will be an improvement from the current SMS. There will be a convergence between the internet and wireless technology as the target audience can request that more product information be sent as email. It is unlikely that these services will provide a sustainable advantage over the long run but they will shape the brand perception of an operator at the initial stage of the introduction of wireless Internet services. However, with the rise of m-commerce, ‘business-webs ’will become even more powerful as every customer will become linked into the web.
Mobile Health Care
3G solution can help doctors and nurses remotely access and update patient records. In emergency situation, the doctor can even use the video function on 3G mobile system to observe the patient’s situation while the patient is at home and give guidance to the patients family member prior arrival to the hospital. Here we can see, it will improve productivity, reduce administrative overhead and enhance overall service quality.
This will enable business customers to enhance productivity, improve customer service and otherwise create a competitive advantage. Customers will initially access 3G networks using laptops with a modem card, PDAs such as the Palm Pilot and devices that look like a wireless phone, but offer a greater range of features. The Palm-type device is an obvious choice for customers who want to consolidate their information in a single device. The laptop and modem card solution makes sense to business travelers who spend time in an airport.
Regardless of changing technology trends, wireless is here to stay, and 3G represents the next "great leap forward" in its development
Conclusion
Competitive advantage in 3G will come from the ability to recognize that mobility and location-based information are critical for success. There will be millions of users making billions of transactions every day, from real time video to checking horoscopes and weather information.
The mobile phone is already part of everyday life with penetration rates rising to 70 per cent and more in many countries, and their appeal will grow, driven by the way consumers construct their own identity. 3G products and services will facilitate and support existing lifestyles and routines, with diversity, personal choice, a balanced efficiency and enjoyment. Nokia sees the largest initial demand for 3G as a highly integrated dual-mode terminal capable of supporting the Mobile Internet, new and existing applications, advanced IP-based services, Multimedia Messaging, Multi-mode radio and open standards and is at the forefront of developing 3G technology