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Hutch launches low-cost package in HK
Hong Kong, Feb 17: Hutchison Whampoa, looking to spur interest in a third-generation (3G) mobile phone service it began recently in its home town, launched a lower-cost package on Monday aimed at Hong Kong `s mass market.
Hong Kong, Feb 17: Hutchison Whampoa, looking to spur interest in a third-generation (3G) mobile phone service it began recently in its home town, launched a lower-cost package on Monday aimed at Hong Kong 's mass market.
The firm said it would begin offering new tariffs for the service tomorrow at as little as HK$183 per month, and would start selling a new 3G phone provided by Japan 's NEC Corp for HK$998 (US$128) each. The new package compares with subscription plans starting at HK$263 a month and an older NEC model costing HK$3,980 when the firm launched the service less than a month ago. Hutchison Group Managing Director Canning Fok declined to say when the new NEC 313 phones, exclusively produced for Hutchison, would be available in other countries and whether his firm was selling the phones at below cost. "Our strategy is to address every layer of the market. This is the second wave of our marketing campaign." he said at a news briefing. Motorola has also started offering 500,000 3G phones to Hutchison, Motorola's Hong Kong president said at the same event. Hutchison launched its Hong Kong service in January, following two delays that were partly blamed on a lack of availability of Chinese language-capable phones. The Hong Kong launch follows a tepid response to Hutchison's 3G service launches last year in Europe . Earlier this month, Hutchison began offering 10 per cent discounts for Hong Kong corporate users who buy at least five phones. The company initially aimed to have one million 3G users each in the UK and Italy by the end of 2003. But after a slow start, it said it hoped to meet those targets in the first half of 2004. Hutchison is spending about 18 billion euros (US$22.95 billion) on the commercially unproven 3G, a commitment that has held back its stock price. Shares in Hutchison, which is also the world's biggest operator of container ports and has vast holdings in retail, energy and property, rose 0.78 per cent on Monday to close at HK$65.00. They have risen nearly 33 per cent in the past 52 weeks, lagging a 48.5 per cent gain by the Hang Seng Index. Bureau Report
The firm said it would begin offering new tariffs for the service tomorrow at as little as HK$183 per month, and would start selling a new 3G phone provided by Japan 's NEC Corp for HK$998 (US$128) each. The new package compares with subscription plans starting at HK$263 a month and an older NEC model costing HK$3,980 when the firm launched the service less than a month ago. Hutchison Group Managing Director Canning Fok declined to say when the new NEC 313 phones, exclusively produced for Hutchison, would be available in other countries and whether his firm was selling the phones at below cost. "Our strategy is to address every layer of the market. This is the second wave of our marketing campaign." he said at a news briefing. Motorola has also started offering 500,000 3G phones to Hutchison, Motorola's Hong Kong president said at the same event. Hutchison launched its Hong Kong service in January, following two delays that were partly blamed on a lack of availability of Chinese language-capable phones. The Hong Kong launch follows a tepid response to Hutchison's 3G service launches last year in Europe . Earlier this month, Hutchison began offering 10 per cent discounts for Hong Kong corporate users who buy at least five phones. The company initially aimed to have one million 3G users each in the UK and Italy by the end of 2003. But after a slow start, it said it hoped to meet those targets in the first half of 2004. Hutchison is spending about 18 billion euros (US$22.95 billion) on the commercially unproven 3G, a commitment that has held back its stock price. Shares in Hutchison, which is also the world's biggest operator of container ports and has vast holdings in retail, energy and property, rose 0.78 per cent on Monday to close at HK$65.00. They have risen nearly 33 per cent in the past 52 weeks, lagging a 48.5 per cent gain by the Hang Seng Index. Bureau Report