Which Country Started the 2G Internet Network and When? Full History, Evolution, and Prices

The history of mobile communication is a fascinating journey, and one of its most defining milestones was the introduction of the 2G internet network. This second generation of mobile connectivity transformed the way people communicated by introducing digital voice transmission and mobile data services. But many wonder: Which country first launched 2G, and when did it happen? Let’s explore the answer in detail, along with how 2G shaped the world of telecom, what it cost at that time, and its global expansion.

What is 2G Internet?

Before diving into history, it’s essential to understand what 2G technology meant.

• 2G (Second Generation) is the mobile network standard that succeeded 1G (First Generation) analog systems.

• It introduced digital signal transmission instead of analog, improving sound quality and reducing noise.

• It enabled the use of Short Message Service (SMS), Multimedia Messaging Service (MMS), and basic mobile internet (GPRS, EDGE).

• Speeds ranged from 9.6 kbps to 384 kbps, depending on the standard used (GSM, GPRS, EDGE).

In short, 2G laid the foundation for mobile internet, text messaging, and global connectivity.

Which Country Started the 2G Internet Network?

The world’s first 2G network was launched in Finland.

• Country: Finland 

• Year of launch: 1991

• Company: Radiolinja (a Finnish mobile operator, later merged into Elisa)

• Technology used: GSM (Global System for Mobile Communications)

This made Finland the pioneer of the 2G revolution. The GSM standard developed in Europe became the backbone of mobile networks worldwide.

Why Finland?

Finland had been an early adopter of mobile communication. With the Nordic Mobile Telephone (NMT) network already running since 1981, Finnish telecom innovators were eager to move to digital technology. Radiolinja worked with Nokia and Siemens to develop the infrastructure for GSM.

This not only put Finland on the map for mobile history but also allowed Nokia to become the world’s largest mobile phone manufacturer in the 1990s and early 2000s.

Key Features of the First 2G Network

When Radiolinja launched 2G in 1991, people experienced a revolution in communication. Some of the defining features were:

1. Digital Voice Calls – Clearer than analog 1G calls.

2. SMS (Text Messaging) – Introduced in 1992; the first SMS said “Merry Christmas.”

3. Improved Security – Calls were encrypted, making eavesdropping more difficult.

4. Roaming Capabilities – GSM enabled users to connect across borders.

5. Affordable Handsets – By the mid-1990s, Nokia and Motorola phones became cheaper and more widely available.

Prices of 2G Services in the Early Days

When 2G was launched, the cost of using mobile phones was much higher compared to today’s standards. Below is an approximate breakdown of 2G prices in the early 1990s (adjusted for historical context):

• Handset Prices (1991–1995):

  • Early Nokia GSM phones cost between $500 to $1000 USD.

  • Some premium models even exceeded $1500 USD.

  • By the late 1990s, handset prices dropped to around $200–$400 USD.

• Call Charges:

  • In Finland in 1991, a typical mobile call cost around 0.50 to 1.00 USD per minute.

  • International calls were much higher, sometimes exceeding $2.00 per minute.

• SMS Prices:

  • When SMS was first introduced, each message cost around $0.10 to $0.25.

  • In some countries, receiving an SMS was also charged.

• SIM Cards & Plans:

  • A SIM card subscription could cost $30–$50 USD at the beginning.

  • Monthly plans were basic, ranging from $20–$40 USD, often with very few included minutes.

In the 1990s, mobile communication was considered a luxury rather than a necessity.

Expansion of 2G Around the World

After Finland’s pioneering move, other countries quickly followed:

• 1992 – United Kingdom & Germany adopted GSM technology.

• 1993 – United States launched 2G but mostly used CDMA and TDMA instead of GSM.

• 1994 – Japan introduced 2G with its own standard called PDC (Personal Digital Cellular).

• 1995 onwards – Global Spread: Almost every major country adopted 2G, making GSM the world’s dominant standard.

By the late 1990s, millions of people had access to 2G mobile phones, and SMS texting became a global craze.

Evolution of 2G Speeds and Prices

2G itself evolved into different stages:

1. GSM (1991–1995)

   • Speeds up to 9.6 kbps.

   • Mostly voice and SMS.

2. GPRS (General Packet Radio Service, 1997–1999)

   • Often called 2.5G.

   • Speeds up to 40 kbps.

   • Introduced basic internet browsing.

   • Pricing: Data plans were very expensive at first, costing $5–$10 per MB in the late 1990s.

3. EDGE (Enhanced Data GSM Evolution, 2000–2003)

   • Known as 2.75G.

   • Speeds up to 384 kbps.

   • Made email and light internet browsing possible.

   • Pricing: By the early 2000s, mobile internet costs dropped to $0.50–$2 per MB, but usage was still limited.

Impact of 2G on Society

The launch of 2G was more than a technological achievement; it reshaped the way people lived and worked.

• Birth of Text Messaging: SMS became one of the most popular communication tools, especially among young people.

• Affordable Mobile Access: As prices dropped in the late 1990s, mobile phones became accessible to the middle class.

• Rise of Nokia & Ericsson: European manufacturers dominated the global market.

• Mobile Banking & Services: In countries like Kenya, SMS-based mobile banking (like M-Pesa) began in the 2000s, enabled by 2G.

• Global Standardization: GSM became the first truly global mobile standard, making roaming easier.

When Did 2G Begin to Decline?

While 2G was revolutionary, newer generations eventually replaced it:

• 3G (2001 onwards): Allowed faster internet, video calls, and multimedia services.

• 4G (2009 onwards): Introduced high-speed broadband for smartphones.

• 5G (2019 onwards): Enabled ultra-fast internet and IoT connectivity.

However, 2G has not disappeared completely. In fact:

• Many developing countries still use 2G for basic voice and SMS services.

• Some IoT devices (like smart meters and vehicle trackers) rely on 2G networks.

• As of 2025, countries like India, parts of Africa, and rural Asia still have active 2G users because of its affordability.

Prices of 2G in Today’s Context (2025)

Although most countries are shutting down 2G, where it still exists, the prices are extremely cheap compared to its early days.

• SIM Cards: Often free or cost $1–$2 USD.

• Voice Calls: As low as $0.01 to $0.05 per minute in developing countries.

• SMS: Usually around $0.01–$0.03 per text, sometimes included in bundles.

• Data (GPRS/EDGE): Rarely used today, but costs around $0.10–$0.20 per MB where still active.

This makes 2G the cheapest form of mobile connectivity, though limited in functionality.

To answer the key question:

• The world’s first 2G network was launched in Finland in 1991 by Radiolinja.

• It introduced digital voice, SMS, and mobile data, changing communication forever.

• Early prices were high: phones cost $500–$1000, calls cost $0.50–$1.00 per minute, and SMS cost $0.10–$0.25.

• Over time, 2G became cheaper and spread globally, enabling billions of people to connect.

Even though 3G, 4G, and 5G dominate today, 2G remains a historic breakthrough and still serves as a lifeline for communication in some regions.