Hutchison Whampoa will face one fewer competitor - but more uncertainty - after French mobile operator Orange yesterday pulled out from third-generation (3G) services in Sweden.
The withdrawal throws into question Hutchison's plan to share network infrastructure with Orange and British operator Vodafone.
It was not immediately clear whether Orange would continue to fund 3G Infrastructure, a joint venture set up by the three operators, or whether the other two partners would be forced to increase their investments.
Orange's decision will also further hinder the slow launch of 3G services in Europe where several operators - including Germany's Deutsche Telekom, Spain's Telefonica and the Netherlands' KPN Telecom - have abandoned or frozen 3G expansion beyond their home markets.
Yesterday, a Hutchison official said the company's commitment to launching a 3G service in Sweden was unchanged.
'Our plans to launch step-by-step during the spring of 2003 are unaffected,' Nora Yong said.
According to Hutchison's understanding, Orange would honour its financial commitments to the joint venture, she said.