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Handset subsidies, free minute offerings still viable marketing tool for Microcell

News | 09/04/2001 4:00 am EDT

Microcell Telecommunications Inc says it's done the math and found that it can continue to offer inexpensive handsets and free-minute offerings, despite recent statements suggesting the company would shift its focus away from costly promotions (RoW, Aug. 7/01). Executives at Microcell's PCS subsidiary acknowledge there are ongoing concerns about the costs associated with such incentives, but after a closer look at the numbers, concluded that GSM's lower cost structure makes such promotions an effective way to boost its subscriber base – at least for the foreseeable future.

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