Operators signal 3G watershed

Some critics of subscription-based Wi-Fi networks say the service should be offered as a free facility in order to help attract customers, and some businesses have already begun following this path.

Vodafone said it sees 3G networks changing the way people think about mobile data. "With significantly faster data rates and greater capacity, customers will really start to see and experience the huge benefits of 3G, by being able to do more, faster," said Vodafone chief marketing officer Peter Bamford, in a statement. "Feedback received from our customers indicates how the card can transform the way they work."

Another blow to 3
Even when handsets become available for the networks of T-Mobile and Vodafone, they may not support video calling, a further blow to 3's strategy. Nokia, the largest handset maker, has said it does not see video calling as a popular service in the near term, and its first 3G handset for the UK supports only video downloads.

Currently, only a small range of mobile phone handsets are available for 3G services, but major manufacturers are finally beginning to add to the selection. Sony Ericsson's Z1010 is to launch sometime this quarter, as the company's first 3G entry. Nokia launched its 3G-capable 7600 handset last month.

Earlier phone shortages had caused revenue problems for Hutchison Whampoa, 3's parent company.