Even if NTT DoCoMo keeps its promise and rolls out next generation (3G) mobile phone networks by May, Japanese users will not have 3G services such as worldwide roaming and high-speed Internet access on their phones.
NTT DoCoMo has said only two of its 11 contracted phone manufacturers will have handsets compatible with the networks. Only Matsushita Communications Industrial (MCI) and NEC have indicated they will release handsets by then, while everyone else, including Nokia (NOK) and Ericsson (ERICY), may not have handsets until 2003.
Nokia spokeswoman Megan Matthews said her company is completing its contract with DoCoMo on time -- which means Nokia will ship 3G handsets in Japan at the end of 2002.
Matthews also added Nokia would be distributing "multi-mode" phones that will give users worldwide roaming capabilities. But the phones that will be initially distributed inside Japan in May will be "single-mode" phones, which can only be used in Japan.
"We are on schedule," Matthews said. "DoCoMo is only expected to sell 150,000 handsets in the first year -- what they are deploying is a proprietary version of (3G) technology, so that means in Japan initially they are referring to single-mode, wide band CDMA (code-division multiple access) networks, and users will have limited coverage."
Generally, the development of handsets follows the construction of the networks because handset manufacturers must conduct interoperability and compatibility tests, Matthews said.
"There is always that window to make sure everything works," Matthews said.
DoCoMo's warning follows an announcement by Japan Telecom, the country's third largest carrier, that it won't roll out 3G services until October 2002.
Singapore defends 3G license prices: Although the government insists its reason for delaying the auction and for slashing the prices of their 3G licenses is to "roll out this advanced technology as quickly as possible," analysts have said in media accounts that the country's actions are a ploy to attract overseas mobile operators.
Singapore has lowered the minimum bid in its upcoming auction of third-generation spectrum licenses by 33 percent from $85.4 million to $56.9 million. And it has been aggressively touting the lower minimum bid to foreign media. The auction, originally slated for February, will be held in April.
Singapore's IDA, the equivalent of the U.S. Federal Communications Commission, vehemently denied its actions are based on need or money.
"If it were about money, we would not have considered reducing the initial price," said Leong Keng Thai, deputy chief executive and director general of IDA.
Singapore has a population of 3 million -- 70 percent of them are cell phone users.
Orange calling: Orange, a carrier whose services are deployed in Australia, Israel, Dominican Republic, United Kingdom, Switzerland, Hong Kong and India, is currently demonstrating a wireless phone with a built-in video camera that lets users see the person they're talking to.
The phone, which costs $1,900, is 18 centimeters long. It has a personal organizer, Internet access, e-mail and it runs on today's global system for mobile communications (GSM) network.
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