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Laptop & Smartphone Users Prefer Wi-Fi to 3G; Willing to Pay for Citywide Wi-Fi


09/02/2009

The Australian subsidiaries of Vodafone and Hutchison (aka ‘3′) have announced plans to merge into a 50/50 joint venture, offering wireless services primarily under the Vodafone brand name.

The combined company will hold a 25% to 27% share of Australia’s wireless market. Analysts expect this consolidation to reduce costs and promote efficiency in the face of a global economic slowdown. Executives, however, insist that economic conditions were not the primary motivation for this merger.

“I really don’t think the economic climate is relevant to this proposal,” said Nick Read, Vodafone’s regional CEO for Asia-Pacific and the Middle East. “Basically, we looked at the market, we looked at the strength of Telstra, the strength of Optus, the required investments to offer the full breadth of products and services, the comprehensive network we want to offer … it’s all about scale.”



 

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