Feeds

Hutchison 3G on road to break-even

Just round corner, claims CEO

  • alert
  • submit to reddit

The Essential Guide to IT Transformation

Canning Fok, chief executive of Hutchison Wampoa, believes 3G phone services could break even sooner than he predicted.

Hutchison recently launched 3G services in Italy, and Fok told Italian paper Corriere della Sera: "I have always said that the break-even at the EBITDA (core earnings) level will be reached in 2005, and break-even at the operating level in 2006. But seen how it is going now, we could be quicker."

In the longer-term Fok believes 3G services will contribute as much as 40 per cent to group sales.

But it wasn't all good news. Fok complained that the Italian government's subsidies for fixed-line broadband services made it harder for 3G services to compete. The company has also had to wait three years for a €500m VAT rebate which would have taken a few weeks elsewhere in Europe. ®

Related stories

3 won't flee UK
Hutchison raises $2bn in soap sale
Hutchison picks up 3 UK's tab

Boost IT visibility and business value

More from The Register

next story
Scotland's BIG question: Will independence cost me my broadband?
They can take our lives, but they'll never take our SPECTRUM
Trying to sell your house? It'd better have KILLER mobile coverage
More NB than transport links to next-gen buyers - study
iWallet: No BONKING PLEASE, we're Apple
BLE-ding iPhones, not NFC bonkers, will drive trend - marketeers
Auntie remains MYSTIFIED by that weekend BBC iPlayer and website outage
Still doing 'forensics' on the caching layer – Beeb digi wonk
Speak your brains on SIGNAL-FREE mobile comms firm here
Is goTenna tech a goer? Time to grill CEO, CTO
NBN Co adds apartments to FTTP rollout
Commercial trial locations to go live in September
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.