It's fair to say that 3G mobile phone technology, specifically its broadband data access, has been hindered by cost. However new research suggests that forthcoming 3.5G (HSDPA) may see operators adopt a model similar to that used by fixed-broadband ISP's:

Latest research from Informa Telecoms & Media shows that HSDPA networks are expected to be switched on in all major Western European markets before the end of 2006 and with a range of devices coming on stream, uptake of HSDPA will now heavily depend on pricing strategies implemented by mobile operators.

"Looking to the fixed world, broadband uptake only truly took off after the introduction of flat-rate tariffs and the settling of average monthly fees at a level of around €25," says Devine Kofiloto, Principal Analyst at Informa Telecoms & Media. "Mobile operators have to date resisted moving to flat-rate models but if mobile operators really aspire to the data traffic volumes of the fixed world, they must also recognise the factors that have so successfully underpinned growth for fixed broadband providers," he says.

Informa's analysis of early HSDPA pricing strategies shows signs that mobile operators are aware that existing pricing models have stifled data uptake. Although there still seems to be resistance to embracing true flat-rate models, upper volume limits have been increased significantly and a consensus on a 'fair use' limit appears
to have settled between 1GB and 2GB.

Increasing the size of 'fair use' limits must go hand in hand with prices that are attractive to potential users. According to Informa's analysis, the average price for operators' largest HSDPA data bundles is somewhere between €50 and €70 per month.

"What is clear is that mobile operators will leverage HSDPA's one key advantage over both fixed DSL and Wi-Fi to justify pricing the service at a premium: mobility," comments Kofiloto.

We have yet to see any official UK pricing for the new 3.5G services, although if the above is correct then the gap between Wi-Fi and 3G may finally be closing.

For consumers this can only be good news, resulting in greater competition, higher speeds and lower prices. We long for the day when true wireless broadband access can be achieved almost anywhere and at a fair cost.

The real question is whether or not operators will recognise that a wider consumer market for such a thing does exist and not just focus on business products.