According to New Strategis Group Consumer Surveys, Demand for 3G Services Warrants More Flexible, Long-Range Spectrum Policy

Free Conference Call to Discuss Consumer Demand for 3G Services

And Resulting Spectrum Allocation Issues



Apr 16, 2001, 01:00 ET from The Strategis Group, Inc.

    WASHINGTON, April 16 /PRNewswire/ -- By the beginning of 2004, U.S.
 operators will be launching 3G services and creating a critical need for the
 allocation of additional spectrum, according to an upcoming study from The
 Strategis Group, U.S. Next-Generation Services: Trends and Outlook. In another
 report, U.S. Spectrum Management: 3G Competitiveness, The Strategis Group
 recommends that the FCC allocate this additional spectrum and allow license
 holders to use spectrum for whatever service the market demands.
     "The need for carriers and manufacturers to plan deployments means that
 the FCC has to determine which frequency bands will be allocated, when they
 will be allocated and when they will be clear of present encumbrances," says
 Adam Guy, Senior Analyst with The Strategis Group.  "Some of the most
 appealing spectrum to 3G service providers is being used by incumbents
 including the military, public safety providers, fixed wireless providers and
 both commercial and educational broadcasters."
     Based on its analysis of consumer demand for 3G services, coverage,
 capacity and international roaming in its two surveys, Wireless Internet and
 Enhanced Services: A U.S. Consumer Survey and U.S. Wireless Consumer Trends:
 Survey and Analysis, The Strategis Group estimates that the U.S. will have
 over 200 million wireless subscribers, 67% of which will be users of next-
 generation wireless data services that require additional spectrum to deliver.
     "Although initially consumers are demanding simple, personalized low-speed
 services, we find there to be budding demand for high-speed services that will
 require more spectrum," said Jeffrey Chang, Analyst with The Strategis Group.
 "Add this to the ever-increasing voice traffic on wireless networks and we'll
 see a real need for additional spectrum extremely fast."
 
     U.S. Market Share of Wireless Technologies, 2007
 
     GPRS, EDGE, 1X            50%
     Voice/Other               35%
     W-CDMA, 1X EV             15%
 
     Source: The Strategis Group, Inc.
 
     The Strategis Group states that although Europe had benefited from its
 mandated single technology standard in terms of continental interoperability
 and equipment economies of scale, a flexible spectrum policy offers license
 holders the opportunity to tap the marketplace for the most efficient
 technologies and services in the long run.  License holders of services other
 than mobile wireless will likely find that they can derive a greater return on
 their spectrum investments by leasing or transitioning to 3G services.
      The study also states that although there are cultural differences
 between the U.S. and some of the leading European and Asian countries, the
 potential demand for 3G-type services is strong. "A long-range, flexible
 spectrum management policy can vault the U.S. into a leadership position in
 the global wireless marketplace," comments Guy.
     The Strategis Group will hold a free conference call on Thursday, April
 26, 2001 at 2:00 p.m. EDT to discuss findings from both U.S. Spectrum
 Management: 3G Competitiveness and U.S. Next-Generation Services: Trends and
 Outlook. The call will feature a presentation by Adam Guy and Jeffrey Chang,
 followed by a brief question-and-answer period. Interested participants should
 contact Laura Wert at 202-530-7510 or lwert@StrategisGroup.com.
 
     The Strategis Group, a C7 company -- with offices in Washington, DC,
 London, Singapore, and Sao Paulo -- publishes in-depth market research
 reports, provides customized consulting services, and supplies continuous
 information solutions to the broadband, wireless, cable TV, satellite,
 Internet and competitive telephony industries. The Strategis Group's focus is
 pure telecommunications, providing strategic information to decision makers in
 the dynamic global marketplace.  For more information on this publication,
 please contact an account executive at 202-530-7500 (voice), 202-293-7933
 (fax) or sales@StrategisGroup.com (email).
 
 

SOURCE The Strategis Group, Inc.
    WASHINGTON, April 16 /PRNewswire/ -- By the beginning of 2004, U.S.
 operators will be launching 3G services and creating a critical need for the
 allocation of additional spectrum, according to an upcoming study from The
 Strategis Group, U.S. Next-Generation Services: Trends and Outlook. In another
 report, U.S. Spectrum Management: 3G Competitiveness, The Strategis Group
 recommends that the FCC allocate this additional spectrum and allow license
 holders to use spectrum for whatever service the market demands.
     "The need for carriers and manufacturers to plan deployments means that
 the FCC has to determine which frequency bands will be allocated, when they
 will be allocated and when they will be clear of present encumbrances," says
 Adam Guy, Senior Analyst with The Strategis Group.  "Some of the most
 appealing spectrum to 3G service providers is being used by incumbents
 including the military, public safety providers, fixed wireless providers and
 both commercial and educational broadcasters."
     Based on its analysis of consumer demand for 3G services, coverage,
 capacity and international roaming in its two surveys, Wireless Internet and
 Enhanced Services: A U.S. Consumer Survey and U.S. Wireless Consumer Trends:
 Survey and Analysis, The Strategis Group estimates that the U.S. will have
 over 200 million wireless subscribers, 67% of which will be users of next-
 generation wireless data services that require additional spectrum to deliver.
     "Although initially consumers are demanding simple, personalized low-speed
 services, we find there to be budding demand for high-speed services that will
 require more spectrum," said Jeffrey Chang, Analyst with The Strategis Group.
 "Add this to the ever-increasing voice traffic on wireless networks and we'll
 see a real need for additional spectrum extremely fast."
 
     U.S. Market Share of Wireless Technologies, 2007
 
     GPRS, EDGE, 1X            50%
     Voice/Other               35%
     W-CDMA, 1X EV             15%
 
     Source: The Strategis Group, Inc.
 
     The Strategis Group states that although Europe had benefited from its
 mandated single technology standard in terms of continental interoperability
 and equipment economies of scale, a flexible spectrum policy offers license
 holders the opportunity to tap the marketplace for the most efficient
 technologies and services in the long run.  License holders of services other
 than mobile wireless will likely find that they can derive a greater return on
 their spectrum investments by leasing or transitioning to 3G services.
      The study also states that although there are cultural differences
 between the U.S. and some of the leading European and Asian countries, the
 potential demand for 3G-type services is strong. "A long-range, flexible
 spectrum management policy can vault the U.S. into a leadership position in
 the global wireless marketplace," comments Guy.
     The Strategis Group will hold a free conference call on Thursday, April
 26, 2001 at 2:00 p.m. EDT to discuss findings from both U.S. Spectrum
 Management: 3G Competitiveness and U.S. Next-Generation Services: Trends and
 Outlook. The call will feature a presentation by Adam Guy and Jeffrey Chang,
 followed by a brief question-and-answer period. Interested participants should
 contact Laura Wert at 202-530-7510 or lwert@StrategisGroup.com.
 
     The Strategis Group, a C7 company -- with offices in Washington, DC,
 London, Singapore, and Sao Paulo -- publishes in-depth market research
 reports, provides customized consulting services, and supplies continuous
 information solutions to the broadband, wireless, cable TV, satellite,
 Internet and competitive telephony industries. The Strategis Group's focus is
 pure telecommunications, providing strategic information to decision makers in
 the dynamic global marketplace.  For more information on this publication,
 please contact an account executive at 202-530-7500 (voice), 202-293-7933
 (fax) or sales@StrategisGroup.com (email).
 
 SOURCE  The Strategis Group, Inc.