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I refer to the news that Vodafone's 3G network should be online and working in key areas by the middle of next year (although it will take another four years to reach a full 78% of the population) -- and the announcement that Motorola are to introduce a dual-mode cellular and WiFi/VOIP phone.

Vodafone's commitment to making such a huge investment shows that there's obviously lots of money to be made from fast mobile data and voice services.

And last year I suggested that there might be a massive market for a dual-mode phone, given that it had the potential to take a big bite out of our ridiculously high mobile call charges.

Now that the phones look to be just around the corner, who's going to be first to roll out a compatible WiFi network and give the existing players a real run for their money -- both in voice and data?

Of course this is a little bit like the plans that Woosh have proposed, except the technology they're using is not WiFi and I suspect that their strategic relationship with Vodafone will compromise any chance of providing a truly competitive mobile voice option.

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It would be very interesting to see how the market might respond to an alternative provider of mobile voice/data who based their offering on WiFi -- especially when one compares the theoretical maximum data rates available (just 384Kbps max for Vodafone's CDMA 3G).

Of course WiFi alone won't cut it. This technology isn't really designed to work in an overlapping transmission cell topography as existing cellular technologies are -- but if someone could offer both, or just the WiFi service for dual mode phones connected to the Vodafone or Teleocm networks, then I think we'd see some dramatic changes to cellular voice and data tariffs.

Even without a nation-wide WiFi network, chances are that existing hotspots might well benefit from providing support for these dual-mode phones.

Being able to make national (or international) cellphone calls while having a coffee in a WiFi enabled cafe might well save the phone user a fortune, while generating a good amount of additional revenue for the cafe owner.

Similarly, installing a compatible VOIP WiFi node in a company's offices would allow workers to use their cellphones as cheaply (or even more so) than their desktop ones.

So maybe the way to do this doesn't involve ploughing a large fortune into building a nation-wide network, but to obtain a franchise for providing the software necessary to establish VOIP nodes compatible with these new phones.

Licensing that software to existing hotspot operators and companies wanting internal nodes could be a very profitable business.

Let's hope a new player is first off the line with this idea, I'd hate to see Telecom or Vodafone tie up the rights to such a system simply to protect its existing revenue streams.

And while on the subject of competition -- just look at what a competitive DSL marketplace does to the deals and promotions that are offered.

In the UK you get a free overseas trip for signing up to one provider's DSL service. Here in NZ we feel blessed if Telecom waives its connection fee.

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