Mobile operators spent around 110bn euros (£71bn) on European 3G licences, and some analysts have claimed that this 3G debt could force many mobile phone companies into bankruptcy. Faced with the additional cost of building networks, amid the backdrop of plunging share prices and a still-turbulent stock market, some operators are being advised to ditch their 3G ambitions altogether. Datamonitor analyst Nick Greenway said last week that operators should abort their 3G plans, despite the billions of pounds they have spent on licences and building the networks. Earlier this month, Orange applied to vary the terms of its 3G licence in Sweden. The firm has asked for an extra three years to complete its rollout, and a relaxation of the minimum population coverage. Orange blamed its request on the late entry into the Swedish market of a fifth 3G operator, Telia, but the move raised speculation that Orange might end its Swedish 3G plans if its request is not granted. Vodafone somewhat spooked the 3G sector last week, when it asked for a one-month delay before paying a 44m euro (£28m) instalment on its Irish 3G licence. The company could decide not to build a 3G network in Ireland.
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