Smart has committed to invest about $150 million over the next three years for 3G. "After seven years of significant expansion, our businesses are approaching a ‘tipping point’ as we embrace new technologies that can provide exciting opportunities for growth. By 2007, income should emerge from our investments in 3G," Smart chairman Manuel Pangilinan said earlier.
Company officials noted that in just three months since it started its 3G network rollout, Smart has achieved 3G presence in around 60 cities, accounting for slightly over 50 percent of the total number of cities nationwide. Over 20 municipalities outside Metro Manila are also now covered by Smart’s 3G.
Smart was the first and is currently the only mobile operator in the Philippines to publicly offer 3G services since it started opening its network on a free trial basis to its subscribers in selected key cities last Feb. 14. The launch came less than two months after the National Telecommunications Commission (NTC) awarded Smart its 3G license in late December 2005.
"This is an affirmation of our commitment to the public to establish the country’s first nationwide 3G coverage at the shortest possible time. We are doing for Smart 3G what we did first for our analog and then for our GSM network infrastructures," Smart president and CEO Napoleon Nazareno said.
For his part, Smart network services division head Rolando Peña noted that with the company’s aggressive expansion of its 3G network rollout, more and more subscribers will be able to enjoy services such as video calling, video streaming, high speed Internet browsing and downloading of special 3G content as an added benefit to its wide array of existing services.
"Our engineers are working round the clock to ensure that more areas will be covered by Smart’s robust 3G network," he added.
3G is shorthand for the next generation of mobile communications networks running on the WCDMA (wideband code division multiple access) platform. This technology allows faster data transmission speeds from 114 kilobits per second (kbps) up to two megabits per second, making possible high-speed data communications and mobile multimedia services such as video conferencing, audio streaming and mobile Internet.
Smart’s 3G network roll-out for 2006 will step up its drive to provide coverage in majority of the cities and a substantial percentage of municipalities all over the country.
In the last three months, the company has set up 3G facilities in its cell sites in business centers, malls, schools, highways, hospitals, hotels, resorts, and airports as well as residential areas.
Simultaneous with its network expansion, Smart has also been conducting enhancement trials on 3G. Last March 24, Smart successfully completed the first data test calls in the Philippines using an enhanced hi-speed version of 3G cellular technology called High Speed Downlink Packet Access (HSDPA). HSDPA allows data calls with transfer rates at least three times faster than the 3G networks currently being deployed in the country.
On top of available streaming of movie and video clips, Smart has also been beefing up its 3G content offerings with new video streaming services such as real-time traffic monitoring of major thoroughfares and TV shows. Smart is currently in discussions with content providers and other TV and cable channels for syndication of content.
"By extending our Smart 3G coverage to more and more areas, we are hoping to help stimulate take up of this new service," Peña said.