Applications to recoup 3G losses

But it won't happen overnight, say 3G operators at a recent roundtable meeting

Network managers should expect to experience cut down 3G services when the technology finally rolls out.

Operators are fervently seeking the killer business application that will help regain some of the debts they have incurred.

But Neil Sholay, industry marketing manager of telco wireless at BEA, said we cannot expect operators to rollout everything at once. "The smart operators have realised that you cannot put everything on the network overnight," he said.

Sholay was speaking at a roundtable event hosted by BEA Systems, which recently announced that Hutchison 3G will use its WebLogic to deliver 3G services.

In the long run, however, the more applications the better. "The only way to succeed is to offer the widest possible range of applications," said Barry De Souza, VP of Source o2, the company's development arm.

"To do this we have to remove the need to host applications on the o2 network and servers." He explained this was the only way to ensure smaller developers would get a say.

Nigel Deighton, VP and research director at Gartner, agreed. "Operators must change their mindset to one of providing support and lifestyle rather than simply selling technology," he said.

He went on to say that one of the major issues facing operators is how to deal with the huge data mining issue. "They may end up spending more on internal IT than on the network," he said. He added that we are likely to see some of the operators fall by the wayside while new players may take their place.

One of the applications that will help create profit is the Session Initiation Protocol (SIP). Sholay said voice would get a new lease of life. "It will allow operators to claw back the profitability of voice," he said, citing the example of delivering voice in combination with data so you can broadcast to hundreds of users at once. "SIP can pick up where IP stops," he said.

De Souza was also keen to stress the importance that Microsoft might hold in the future of communications. Vodafone's announcement that it has reached 100-million users highlighted the size of the issues at hand.

"The kind of applications and platforms required for these numbers demands the economies of scale only the likes of Microsoft can deliver," he said. "We are looking to build a better relationship between Microsoft and Source o2."

Operators will also have to work together if they are to remain in business. "The only way to succeed is to cooperate with other operators," said De Souza.Comment on this article