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Hutchison 3G Gets Nervous Over 3G Debt


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Old 30-03-2004, 16:52
Everything Goes
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Hutchsion who are best know for 3 Mobile in the UK are getting nervous over the mounting debts 3G operations have cost them.

Hutchison plans fold mainly mobile units in Sri Lanka, India, Israel, Thailand, Macau, Ghana and Paraguay into a new firm. They hope to raise £550 Milllion in an Initial Public Offering.

3G is expected to cost them $2.6 Billion this year alone which is more than last year.

Analysts have previously expressed concerns that 3G licences may expire before a clear profit can be made. Perhaps they have good reason to be nervous!

http://news.bbc.co.uk/1/hi/business/3581213.stm
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Old 30-03-2004, 20:45
MDX
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nah they are ready to wipe the debt clean pretty soon, they are going to be selling of some of there telecoms companies take a look here for the full story

http://theregister.co.uk/content/59/36634.html
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Old 04-04-2004, 12:14
wavefinder
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i have a 3 phone, a motorola,the one thats advtsd everywhere.its great!cheap and the technology is brilliant. 3 where here first with their cheap tarrifs,and i think they have shook up the mobile industry,thats why there are more and more competitive deals out there,so everybody has them to thank! yes,they have been the butt of jokers what with their size of phones and lack of them,but thats all changing with the advent of new smaller handsets.getting back to the original point though, iam in debt ie.credit card everybody is in debt,every comp. is in debt,the whole bleeding world is in debt, especially here in the uk, what with the english fascination for houses and make ups,their bleeding gardens, their i must have one of those even though i cant afford it! great though isnt it? who cares?
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Old 04-04-2004, 12:49
wavejockglw
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Originally Posted by wavefinder
i have a 3 phone, a motorola,the one thats advtsd everywhere.its great!cheap and the technology is brilliant. 3 where here first with their cheap tarrifs,and i think they have shook up the mobile industry,thats why there are more and more competitive deals out there,so everybody has them to thank!
I hav'nt seen any significant tariff changes by Orange, Vodafone, 02 or T-Mobile to match 3's whatsoever. The others know that 3 have problems with network and handset performance/reliability and that their handset range just is'nt acceptable by most contract customers. Poor battery life, size, weight and bugs have plagued 3 since the launch and only a few thousand die-hards seem happy with the 3rd rate service because its cheap. Hutchison have had the highest proportion of complaints to Oftel in the last Qtr of 2003 and in desperation will offer just about anything to get numbers now but in the area of mobile communications its quality and reliability that counts and thats why they will be an also ran until they offer a service that is at least as good as those we have all been used to for many years.
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Old 05-04-2004, 16:16
banbury_oddball
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I agree with Wavejock ....

3 indeed was the first network to offer 3G technology, and the other main networks in the UK were more than happy to see if they fell flat on their face over the poor handsets, network availability, content etc before commiting themselves.

After a couple of years, yes 3 are doing well, but not as well as they imagined, and are not making a terrific amount of money due to the special offers they are constantly running to build up their subscriber base - and I'm sure there are loads of other reasons. Network coverage also plays a big factor.

Vodafone have just launched their 3G data cards, which connect into a laptop and offer terrific speeds over the internet.

As for handsets, they will be released later in the year and after looking at them, they are considerably better than those originally offered by 3. Saying that though, it really isn't 3's fault for the poor handsets, I would think that manufactureres rushed slightly in getting them out and the style and functionality was poor, but I recently saw a newish 3 handset and I thought it was a cracking phone.

It's a lesson learnt to all the networks for the new technology similar to WAP and with handsets alike. Many people knock Vodafone for the limited number of handsets available, but at the same time the handsets offered very rarely go wrong due to the stringent tests they perform. Everyone must remember the Nokia 7110 handset with the slide. I worked for Orange at the time in the test centre and the amount coming back for faulty slides was unbelievable !. Now working for Vodafone, I can see why they wait !
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Old 12-05-2004, 22:24
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Hutchinsons everything must go sale continues with the sale of their 20% stake in their mainland China joint venture with Procter & Gamble which they hope to raise £1 billion.

http://www.3gnewsroom.com/3g_news/ma...ews_4483.shtml

Meanwhile Moody's Investors Service has affirmed the A3 debt rating for Hutchison in response to the proposed disposal of its 20% stake in Proctor & Gamble.

http://www.3gnewsroom.com/3g_news/ma...ews_4484.shtml

Investment bank Nomura predicted that Hutchison will pull out of 3G in 2006. Normura failed to see how Hutchison can achieve an economic return on capital and value the company at a negative HK$63 billion.

http://www.3gnewsroom.com/3g_news/ma...ews_4467.shtml
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