Telecom may be forced into CDMA switch

3 Oct 2006

Telecom New Zealand is considering switching its mobile networks from CDMA to the more popular GSM technology. The New Zealand Herald reports that the move would cost Telecom around NZD400 million (USD261.6 million), although the firm has still to make a final decision on whether to make the switch. GSM now accounts for 82% of mobile subscribers worldwide and with companies such as Telstra in Australia moving their own systems from CDMA to GSM it leaves the remaining CDMA-based cellcos with fewer and fewer international roaming partners. Telstra’s move will mean Telecom customers will have no CDMA network to roam onto when they visit Australia. However, Telecom’s chief financial officer, Marko Bogoievski, says the case for switching to GSM is not yet ‘compelling’ according to the newspaper’s report.

New Zealand