Telecom customers stick to TDMA

Most Telecom mobile subscribers are still on TDMA connections rather than the new CDMA network, according to the company's latest quarterly results.

Most Telecom mobile subscribers are still on TDMA connections rather than the new CDMA network, the company's latest quarterly results show.

According to the results, released yesterday, the number of mobile users on the older TDMA system fell over the past year from just over a million to 859,000, with CDMA connections rising to 407,000 from 191,000.

Telecom is encouraging TDMA users to migrate to its CDMA platform, which it outsourced to Lucent Technologies this year and expects to be able to shut down the TDMA network by 2007.

Overall, the company's net earnings were up 11%, from $146 million in the same quarter last year to $162 million this year.

An area that saw significant growth was Telecom Advanced Solutions, which had revenue of $12 million, up from $4 million last year.

While cellular revenue remained static, there was substantial growth in mobile data revenue, which was up 66%, from $6 million to $10 million, with text messaging the main driver.

ADSL revenue grew 58%, from $12 million to $19 million, thanks to a near doubling of JetStream connections in the past year, from 45,000 to 81,000. Many of those connections are JetStream Starter, which at 128Kbit/s falls below accepted definitions of broadband.

On the other side of the ledger, capital expenditure increased from $75 million to $91 million, with new network capability rising from $5 million to $18 million.

Some of that went into deploying VoIP capability and new billing systems supported by Telecom's next generation all-IP network.

There was little movement in fixed line call revenue.

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