In a bold endorsement of the next generation internet protocol, Nokia has announced that it will base the IP core for its future third generation (3G) mobile networks on IPv6.

The protocol allows millions more IP addresses to be created than the current standard, IPv4. Nokia's 3G All-IP Core will support IPv6, which it said would cater for the hundreds of millions of users of the mobile internet. According to Nokia, only IPv6 offers the potential for proper quality of service and security in IP networks.

Lauri Melamies, senior vice president, network systems, Nokia Networks, said: "The Nokia 3G All-IP Core is targeted to support major radio access standards, blurring the difference between the fixed and mobile network for the end-user. This is possible by combining the carrier class know-how Nokia has with the most advanced IP architecture."

Nokia predicts that by 2005, mobile internet services will account for roughly 60 per cent of operators' revenues, against five per cent these bring in now.

Peter Crowcombe, European director of corporate access and service provider networks at Infonetics Research, said that Nokia was carrying forward an ambitious unified communications strategy.

"IPv6 would allow a huge increase in the number of internet addresses, and there would be no problem with address migration - which is important in the consumer space with the rise in IP-enabled mobile phones," said Crowcombe.

Nokia said the 3G All-IP core will reduce capital and operational costs through cost-competitive architecture offering improvements in service creation over existing circuit switched solutions, as those traditional solutions will not meet the requirements for creating and facilitating advanced 3G services.

An All-IP core for future 3G services is critical as it supports and enables packet data transmission in the network, giving the capability for a range of new IP-based services to be delivered to future terminals as well as bringing faster data speeds.

The Nokia All-IP core is compatible with major radio and data network standards, enabling what Nokia described as "a secure, future proof, end to end network for 3G mobile multimedia."

Nokia has committed to be first to market with the implementation of an All-IP core solution in 2002.