The European market for mobile data: evolving value chains and industry structures

Whether Europe will be able to maintain its strong position in mobile telecommunications will depend to a large degree on the transition to the next generation technology. Unlike other countries and regions that have embarked on a more gradual transition model, European policy-makers and industry leaders envision a rapid introduction of the next platform, the Universal Mobile Telecommunications System (UMTS). This paper describes the key factors that will shape this transition and the challenges faced by the main stakeholders. The new industry value chain, corporate resources and skills, and the economic and regulatory context of UMTS will jointly determine corporate strategies and the resulting competitive and informational characteristics of the industry.