CSL limits release of 3G service to key urban areas

Hong Kong mobile phone operator CSL plans to launch third generation services in just a handful of key urban districts rather than offer universal coverage across the SAR.

Defying conventional wisdom that a successful launch required blanket coverage, CSL plans a patchwork offering focusing on a few key areas when it rolls out services in the third quarter of next year, according to chief executive Hubert Ng Ching-wah.

Hong Kong's most profitable operator identified Central and the Airport district as areas it would launch high speed data services, and the dense shopping areas of Causeway Bay and Mong Kok as places where it could capture most traffic.

Mr Ng claimed its partial 3G network would work if pitched at an affordable price.

'Not every one will be 3G users, we will invest where the demand is,' he said on the sidelines of the International Telecommunications Union conference. He said the main challenge for operators was to solve the call 'handover' problem allowing traditional voice network calls to be routed on to 3G networks.

Playing down the migration from intermediate wireless data standards he said: 'At the moment, there is not much difference between 2.5G and 3G. People just use it to browse the Internet and take pictures. We still don't know what 3G can be used for.'