Are 3G phone services going down the drain?

Industry experts have speculated that the 3G phones and services will come of age in a few years, if not too soon. Back in 2004, 3G phones were considered way too advanced and many consumers who are satisfied with their old phones wouldn’t spend for a 3G device. Have times changed? We guess not. Recent TNS reports tell us that 3G phone services aren’t selling too well.

Consider this: In the U.S., only 16% of mobile phone owners buy phones with 3G capabilities. Among them, only 10% use the 3G functionality in these phones.

Thing is, 3G services are comparable to broadband, while GSM is like dial-up. These days, if we’re talking about speed, everyone would be willing to shell out for a 3G phone. The services, compared to 2004, were much cheaper. 3G also affords faster and richer internet experience on the mobile phone. But why the skepticism?

Let me just summarize what one non-3G user says about 3G services: They’re limited in access, they’re expensive (you get charged per-minute or per-KB charges for data) and the whiz-bang features are fairly redundant. Bottomline is, maybe way too many people, although bored with their old phones, would still like to stick to the basics. Hence, the slow adoption of 3G services.

Industry experts have speculated that the 3G phones and services will come of age in a few years, if not too soon. Back in 2004, 3G phones were considered way too advanced and many consumers who are satisfied with their old phones wouldn’t spend for a 3G device. Have times changed? We guess not. Recent TNS reports tell us that 3G phone services aren’t selling too well.

Consider this: In the U.S., only 16% of mobile phone owners buy phones with 3G capabilities. Among them, only 10% use the 3G functionality in these phones.

Thing is, 3G services are comparable to broadband, while GSM is like dial-up. These days, if we’re talking about speed, everyone would be willing to shell out for a 3G phone. The services, compared to 2004, were much cheaper. 3G also affords faster and richer internet experience on the mobile phone. But why the skepticism?

Let me just summarize what one non-3G user says about 3G services: They’re limited in access, they’re expensive (you get charged per-minute or per-KB charges for data) and the whiz-bang features are fairly redundant. Bottomline is, maybe way too many people, although bored with their old phones, would still like to stick to the basics. Hence, the slow adoption of 3G services.