Calls for a 3G Delay in Sweden

Sweden's Tele2 and TeliaSonera have jointly requested a delay to their 3G rollout schedule. Citing unforeseeable changes of circumstances, the formal application requests amendment of licence conditions for the licence held by Svenska UMTS-licens AB, the infrastructure joint venture set up by the two companies.

According to Svenska UMTS-licens AB, several circumstances underlie the request for postponement. All such changed circumstances could not be foreseen when the application for a licence was filed. In its application to the National Post and Telecom Agency, Svenska UMTS-licens AB states that it is now taking so long for decisions to be handed down in building permit matters that the planned rate of expansion of the 3G network would be impossible even if unlimited resources were available. In addition, the lack of certain technical platforms precludes the establishment of usability, functionality and technical system coordination prior to the end of the year. Nor have suppliers of terminals been able to deliver terminals in the volumes required for a commercial launch.

The companies believe that the network under construction by TeliaSonera and Tele2 will cover 70% of the population in Sweden by early 2004. In their assessment, the coverage requirements will be met by no later than 31 December 2005, provided there are no critical changes in technological and market developments.

In a special notice released last Friday, the National Post and Telecom Agency announced a new schedule for evaluation of 3G with reference to the new legislation to be enacted later this year. However, requirements concerning the rate of development have not changed."

Posted to the site on 1st April 2003