The government is all set to roll out 3G services in mobile telephony. 3G is the precursor to the 4G technology which will provide support to multimedia services. The telecom ministry also announced the start of mobile number portability (MNP) allowing mobile subscribers to switch from one operator to another without changing their mobile numbers. Though MNP is a good move but I am skeptical about how successful 3G will be in India. India is predominantly voice based market. 3G has only been successful in tech savvy populations of Japan and Korea. The scope of 3G is limited to metros and tier 1 cities. There are a few positives out of this move in the telecom industry. Companies involved in VAS and the Indian gaming industry might get a boost. New models of handsets will be launched supporting 3G services. Another interesting thing to note would be how the bidding process takes places and how much of the cost will be transferred to the customers availing these services?
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