Nokia announced it is interested in offering GSM technology using the 450MHz radio spectrum and was followed by Ericsson which showed its interest in this technology on Tuesday. The 450MHz GSM technology could cut costs for operators, especially when covering rural areas.
GSM networks currently use mostly 900/1800/1900 MHz frequencies. The lower frequency 450 MHz bandwidth would allow the network builders to cover the same area with fewer base stations.
"Ericsson GSM 450 will particularly help to bring mobile services to remote areas previously considered not feasible to cover," the company said in a statement.
"Better coverage with lower operating costs is one result of the new technology," it added.