Telecom hails CDMA launch

By Phil Boeyen, ShareChat Business News Editor

Monday 9th July 2001

In a week when Telecom could use a lift, it's announced the launch of its much-vaunted new mobile technology, CDMA (Code Division Multiple Access).

TEL describes the technology as "the most significant innovation to hit the New Zealand telecommunications market for some time."

"Mobile users can now purchase new CDMA handsets to enjoy superb call clarity and increased depth of coverage," says Mobile GM, Mohan Jesudason.

"In addition they can use a range of new CDMA mobile data services, and can seamlessly roam to Australia, with other countries such as Canada, United States and Hong Kong planned to be available soon."

Mr Jesudason says customers can choose to migrate to the new system when it suits them, with existing mobile networks continuing to operate for the next few years.

Hyundai, Samsung and Kyocera will initially supply the new range of CDMA mobile phones, and the company says they range from the highly functional Kyoceras to the latest MP3-playing Samsung.

"Customer reactions to CDMA phones during the pilot have been very positive, and user satisfaction ratings exceeded our highest expectations," says Mr Jesudason.

Telecom has spent $200 million on getting CDMA up and running and will be expecting big things from the service - in particular growing its mobile market while at the same time stopping rival Vodafone from adding new customers.

"We are confident that the customer benefits of this technology, coupled with competitive pricing and an attractive range of phones, will see a strong demand for CDMA in the New Zealand mobile market."

2,000 customers, dealers and staff have been piloting the new system in the months leading up to today's launch.

Telecom shares closed Monday down 13 cents at $5.15, their lowest close since early January.

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