SingTel's Optus says 3G launch to add customers

SYDNEY (Reuters) - Singapore Telecommunications Ltd's Optus, Australia's second-biggest phone carrier, launched its high-speed, third-generation (3G) mobile service on Monday, saying it was confident the technology would boost subscriber numbers.

Optus, the last of Australia's four key mobile carriers to launch a 3G service, is facing rising competition in Australia's near-saturated mobile phone market. SingTel said in September it expected earnings growth at Optus to fall because of competition and price pressures, especially in mobiles.

Allen Lew, managing director of Optus Consumer, told reporters the 3G service should lift subscriber numbers and "allow us to realise the untapped revenue potential of mobile content and data services".

A 3G service enables customers to access voice, email, video, music and the internet at high speed through a mobile phone.

Optus has around one third of the mobile phone market in Australia, where more than eight out of 10 people own mobile phones.

Telstra Corp Ltd has around 45 percent market share, Vodafone Australia 17 percent and Hutchison Telecommunications (Australia) Ltd 5 percent.

Optus, SingTel's top earnings generator, said last year it and Vodafone would spend around A$600 million developing a 3G network, following a A$450 million 3G network sharing joint venture between Telstra and Hutchison.