Does EDGE have the edge?

Bidshot Wireless Services

I recently saw numerous print advertisements and heard radio plugs promoting EDGE technology imbedded in the new Nokia 6220. In fact, a buddy commented, "The 6220 must be the best, it’s got EDGE!" I asked myself, "What EDGE is he referring to?" The same buddy was, of course, clueless about EDGE and assumed some new techie feature meant that it made the 6220 an outrightly better phone. Does our market really have a clue what EDGE is about? From what I know, EDGE is an acronym for enhanced data rate for GSM evolution service. It is supposed to be an intermediate technology which offers the speed and some of the features of 3G on current GSM networks. Yes, it’s the very same much-anticipated 3G technology that has left a few mighty telecom companies saddled in huge debts in their quest for building a network capable of 2Mbps or blazing broadband-like speeds for your mobile phones. Well, it seems that EDGE technology, which was once shelved to make way for the 3G dream, has made a comeback and is proving to be a better-than-ever business case.

Unlike 3G that required a grand layout of a new network to implement and huge spectrum license fees to be paid, the rollout of EDGE is finally more prudent since minimal capex investment is needed to deploy it. We are huge by any account and most especially, if we talk about billions of pesos. This exercise is also considered an educational phase for all; it not only prepares consumers of 3G services but teaches operators user’s content preferences and experiences.

To date, seven operators have launched EDGE in six countries: Cingular Wireless and AT&T Wireless in the US, AT&T Wireless in Bermuda, AT&T Wireless in Puerto Rico, Telefonica Moviles in Chile, CSL in Hong Kong and AIS in Thailand. I have learned that in a couple of months our telecom darlings will be joining this prominent group by launching their EDGE services, too. This would mean that Globe, Smart and Sun would be able to offer mobile users data speeds that are increased three-fold for file downloading and multimedia services that combine high-speed data, voice, audio, video and text. Great! This enhances the opportunity for us to appreciate richer content without the choppy quality of service.

The Nokia 6220 will be the first handset to have this feature, but it is important to realize that the potential increase in speed is dependent on the upgraded network. Do expect other manufacturers to be rolling out their own EDGE-enabled units soon.

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In one of my articles late last year, I wrote about the move of the US Federal Communications Commission (FCC) or the equivalent of our NTC, pushing for American carriers to allow mobile number portability. Mobile number portability is the ability of a mobile subscriber to carry his mobile number and switch to whichever carrier he pleases. Such a move empowers the user to leave his carrier with no hesitation if he feels that another carrier offers better service and pricing. This is definitely a very pro-consumer regulation that had the broadest consumer support in the US. Much resistance was put up by the carriers, citing migration costs and increased churn rates but to no avail. All that is moot and academic now for the FCC has mandated carriers to allow mobile number portability starting last Nov. 24 or face stiff penalties. In last Monday’s business portion of this daily, I read that our very own NTC is looking at a similar regulation for our local wireless carriers to follow. The same article said implementation of mobile phone portability should be easier to implement since all local carriers run on the same GSM platform. This regulation will surely get support from consumers. Hmmm... sounds like a possible angle for some politicians to use to gain popularity. :)

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Patrick R. Garcia is the managing director of Bidshot Wireless Services. For comments or sugges-tions, text your message to 23311 (Globe) or 2430018 (Smart), or e-mail [email protected].