O2 Ireland turns on its 3G mobile service

O2 Ireland switched on its third-generation (3G) mobile network yesterday and said it could offer coverage in areas that support 35 per cent of the Irish population, Jamie Smyth, Technology Reporter

The firm, which has about 1.2 million subscribers, said it hoped to begin offering mass market 3G mobile phone services to the public in the second half of 2004 and in 2005.

About 25 corporate customers of O2 are already trailing the technology, which will enable users to connect to the internet faster than is currently possible. It will also offer consumers a range of video phone and multimedia applications on their mobiles.

O2 said it had exceeded the regulatory requirements for the introduction of its 3G mobile service that were laid down in the firm's licence.

But Mr Niall Norton, O2's chief financial officer, said the service would only be introduced on a more widespread basis later in 2004 when the issue of handset availability is overcome.

Third-generation mobile services were initially expected to go live in 2003 in most mobile markets but technical hitches and the huge cost of rolling out networks has delayed its launch.

"The success of 3G will be dependent on the availability of good-quality handsets at competitive prices and on growing market demand for compelling data services," said Mr Norton.

O2 is the third Irish mobile phone operator to switch on its 3G network. Vodafone and Hutchison made similar announcements earlier this year and are conducting trials with some customers.

The Commission for Communication Regulation (ComReg) welcomed the announcement from O2. ComReg chairman, Mr John Doherty, said he was looking forward to the wider availability of next-generation services in the near future.