AT&T to subsidise 3G handsets

The largest US cellular operator AT&T says it hopes to kick-start demand for 3G services by offering substantial subsidies on handsets. The operator, which until recently was known as Cingular Wireless, says it will offer up to USD200 in mail-in rebates on certain models, as long as customers sign up for a two-year 3G wireless plan and also agree to take one of its fixed broadband products. The offer is also open to existing AT&T broadband customers. ‘We're following through on our commitment to deliver new values and benefits to customers from our merger with BellSouth Corp and consolidating ownership of Cingular Wireless,’ said Rick Welday, chief marketing officer at AT&T’s Consumer division. AT&T has W-CDMA 3G networks live in more than 160 US markets and had 58.67 million cellular subscribers at the end of September, according to TeleGeography’s GlobalComms database.