Thefourmajoroperators
ThefourmajordomesticoperatorsrefertoChinaMobile,ChinaUnicom,ChinaTelecom,andChinaRadioandTelevision,whetherfromtheperspectiveofcommunicationsorterrestrialnetworks.Thehomesarethelargestandmostpowerful.Ofcourse,theyhavedifferentpriorities.Forexample:
·ChinaMobilemainlyoperatesGSM,TD-SCDMA,TD-LTEnetworksandfixednetworks.
·ChinaUnicommainlyoperatesGSM,WCDMA,FDD-LTE,andfixednetworks.
·ChinaTelecommainlyoperatesCDMA,CDMA2000,FDD-LTE,TD-LTEnetworksandfixednetworks.
·ChinaRadioandTelevisionismainlyengagedintheInternetdomesticdatatransmissionbusinessanddomesticcommunicationfacilitiesservicebusiness.
ChinaTelecom
ChinaTelecomGroupCorporationisasuperlargestate-ownedcommunicationsenterpriseestablishedinaccordancewiththenationaltelecommunicationssystemreformplan.ItwasreorganizedandestablishedinMay2002.AftertheoriginalChinaTelecomdividedthenorthandthesouth,ChinaTelecomhas21provincial-leveltelecommunicationscompaniesunderitsjurisdictionandowns70%oftheassetsofthenationallong-distancetransmissiontelecommunicationsnetwork.Itallowstheconstructionoflocaltelephonenetworksandtheoperationoflocalfixedtelephonesinthetennorthernprovinces.Waitingforbusiness.ThereorganizedChinaTelecomCorporationismanagedbythecentralgovernment.ItisaninstitutionauthorizedbytheStateCounciltoinvestandapilotstate-controlledcompany.AssetsandfinancialrelationsarelistedseparatelyintheMinistryofFinance.TheregisteredcapitalofChinaTelecomCorporationis158billionyuan.Mainlyoperatevariousdomesticandinternationalfixedtelecommunicationsnetworkfacilities,includinglocalwirelessloops;voice,data,imageandmultimediacommunicationandinformationservicesbasedontelecommunicationsnetworks;conductinternationaltelecommunicationsbusinesssettlementsandopenupoverseascommunicationmarkets;managementandcommunicationsAndinformationbusiness-relatedsystemintegration,technologydevelopment,technicalservices,informationconsulting,advertising,publishing,equipmentproductionandsales,importandexport,designandconstruction,etc.;andbasedonmarketdevelopmentneeds,operateotherbusinessesapprovedorpermittedbythestate.ChinaTelecomGroupCorporationcontinuestoownthegoodwillandintangibleassetsof"ChinaTelecom".
ChinaTelecomCorporationhas21provincial-levelenterprises.Thegroupcompanyand21provincial-levelenterpriseshaveaparent-subsidiaryrelationshipwithcapitalasthelinkandnetworkandbusinessasthelink.TheestablishmentoftheChinaTelecomGroupCorporationmarkedthatChina'stelecommunicationsindustryhasenteredanewstageofhealthydevelopment.
ChinaMobile
ChinaMobileCommunicationsCorporation("ChinaMobileCommunications"forshort)isbasedonthecountry’sdeploymentandrequirementsforthereformofthetelecommunicationssystem.Animportantstate-ownedbackboneenterpriseestablishedonthebasisofthisfoundationwasestablishedonApril20,2000andisdirectlymanagedbythecentralgovernment.
ChinaMobileCommunicationsCorporationhasaregisteredcapitalof51.8billionyuan,anassetscaleofmorethan320billionyuan,and120,800employees.ChinaMobileCommunicationsCorporationhaswholly-ownedsubsidiariesin10provinces(autonomousregions)inChina,andwholly-ownedChinaMobile(HongKong)GroupCo.,Ltd.,whichiscontrolledbyChinaMobile(HongKong)Co.,Ltd.in21provinces(autonomousregions)inChina.,Municipalities)setupwholly-ownedsubsidiariesandlistedinHongKongandNewYork.
ChinaMobileCommunicationsismainlyengagedinmobilevoice,data,IPtelephonyandmultimediaservices,andhastherighttooperatecomputerInternetinternationalnetworkingunitsandtherighttooperateinternationalgateways.Inadditiontoprovidingbasicvoiceservices,italsoprovidesavarietyofvalue-addedservicessuchasfax,data,andIPtelephony.Ithasfamousservicebrandssuchas"GlobalConnect","ShenzhouXing"and"DynamicZone".Theservicenetworknumberis"139,138,137,136",135,134,159,158,157,152,151,150,187,188,182,183,184,147".
ChinaMobileCommunicationsistheonlydomesticcommunicationscompanythatfocusesonthedevelopmentofmobilecommunications.IthasalwaysplayedaleadingroleinthedevelopmentofChina’smobilecommunicationsandoccupiesanimportantpositioninthefieldofinternationalmobilecommunications.Aftermorethantenyearsofconstructionanddevelopment,ChinaMobileCommunicationshasbuiltacomprehensivecommunicationnetworkwithwidecoverage,highcommunicationquality,richbusinessvarieties,andfirst-classservicelevels.Thenetworkscaleandcustomerscalerankfirstintheworld.Asoftheendof2002,thenetworkhascoveredmostcounties(cities)acrossthecountry,themaintrafficarterieshaveachievedcontinuouscoverage,thekeyareasinthecityhavebasicallyachievedindoorcoverage,theG***mobilephoneexchangecapacityhasreached182millionhouseholds,andthetotalnumberofcustomershasexceeded1.38Yihuhasopenedinternationalroamingserviceswithnearly200mobilecommunicationoperatorsin116countriesandregions.ChinaMobile(HongKong)Co.,Ltd.isoneofthecompanieswiththelargestmarketcapitalizationamongChina'soverseaslistedcompanies.
ChinaMobileCommunicationshassuccessfullyenteredtheinternationalcapitalmarket.Afteritssuccessfullistingoverseasin1997,itsgoodbusinessperformanceandhugedevelopmentpotentialhaveattractedmanyinternationalinvestmentsandhavesuccessivelyabsorbedalargeamountofforeignexchangeforthecountry.AccordingtothelatestrankingoftheFortune500publishedbytheUS"Fortune"magazine,ChinaMobileCommunicationsranked287th.
Accordingtothecountry'srequirementsforcultivatingagroupoflarge-scaleenterprisegroupswithinternationalcompetitiveness,ChinaMobilehasestablishedthedevelopmentstrategygoalof"strivingtobeaworld-classcommunicationsenterprise".Focusingonthisgoal,ChinaMobilefullyimplementsthestrategicfocusof"leadinginserviceandbusiness",strivestoenhanceitsleadingedge,ensuresthesustainableandstabledevelopmentofthecompany,andmakesduecontributionstopromotingChina'snewindustrializationpath.
ChinaUnicom
ChinaUnitedTelecommunicationsCo.,Ltd.wasestablishedonJuly19,1994.TheestablishmentofChinaUnicomhasintroducedcompetitioninthefieldofChina'sbasictelecommunicationsbusiness,andhasplayedapositiveroleinpromotingthereformanddevelopmentofChina'stelecommunicationsindustry.
ChinaUnicomhasestablishedmorethan300branchesandsubsidiariesin31provinces,autonomousregions,andmunicipalitiesacrossthecountry.ChinaUnicomistheonlydomestictelecommunicationscompanylistedinNewYork,HongKongandShanghaiatthesametime.InJune2000,thecompanywassuccessfullylistedinHongKongandNewYorkandraisedUS$5.65billion,makingitoneofthetopteninthehistoryofglobalinitialpublicofferings.InOctober2002,thecompanysuccessfullycompletedtheA-sharelistinginShanghaiandbecamethelargestlistedcompanywiththelargesttradablesharesinthedomesticcapitalmarket.
ChinaUnicomadherestothemarket-oriented,benefit-centered,unifiedplanningofnetworkconstruction,rationaluseofnetworkresources,focusingontheuseofsocialforces,maintainingcontinuous,healthyandrapiddevelopment,andstrivingtoprovidecomprehensiveandconvenientforthesociety,Distinctivetelecommunicationsservices.
TheoverallstrengthofChinaUnicomcontinuestoincrease.Thetelecommunicationsbusinessoperatedhasevolvedfrommobilephones(GSM)andwirelesspagingatthebeginningofitsestablishmenttomobilephones(includingGSM,WCDMA,FDD-LTE),long-distancecalls,localcalls,datacommunications(includingInternetservicesandIPphones),Telecomvalue-addedservices,wirelesspagingandotherservicesrelatedtothemainbusiness.ChinaUnicomhasalsostarted10GPONcentralizedprocurement.
Inordertopromotethein-depthintegrationofinformatizationandindustrialization,acceleratetheimprovementofnetworkqualityandthedevelopmentofinnovativeservices,ChinaUnicomhasalsoreachedcooperationwithsomeregionalgovernments.
ItwaslearnedfromChinaUnicomonJuly8,2016thatChinaUnicom’sfirsttrans-Pacific100Gcircuitwasofficiallyopened.ThecircuitconnectsthePOPpointinChaiwan,HongKongandthePOPpointinSanJose,USAthroughtheAAGsubmarinecablesystem.
ItisunderstoodthatChinaUnicomInternationalisresponsiblefortheinternationalsubmarinecablebusiness.Thefirsttrans-Pacific100GcircuitofChinaUnicomopenedthistimeisanintegralpartoftheinternationalcompanyUProgram.Afterthecircuitisopened,itwillbedeliveredandservedtoChinaUnicom'sstrategiccustomersimmediately.
InMarch2016,theAsia-Africa-Europe-1CableSystem(AAE-1),initiatedandconstructedbyChinaUnicom,successfullylandedinWeishuang,Myanmar.Thesubmarinecabledirectlyopensupalargebandwidth(100Gb/s)channelfrommainlandChinatoAfricaandEurope.
Telecomoperatorscontinuetobuildsubmarinecableprojects.Inadditiontoimplementingthenational"OneBeltOneRoad"strategy,thesignificancefortheindustryandusersistoimprovetheinternationalnetworklayout,shortenrouting,reducedelay,andimprovenetworksecurity.
ChinaUnicomwillsuccessivelyopen100GcircuitsonAPCN-2,APG,TPE,PC-1,TGN-Pacific,UnityandFASTERsubmarineopticalcablesystemsintheAsia-Pacificregion.
Lookingforwardtothefuture,ChinaUnicomwillcontinuetopromotevarioushumanresourcesmanagementsystemsbasedonthestrategicdevelopmentideasof"mobile-oriented,comprehensivedevelopment;coordinatedanddifferentiatedoperationsbetweenthetwonetworks;leadingefficiency,biggerandstronger"Theinnovationandin-depthdevelopmentofthecompanyhasbuiltthecompanyintoa"equal,withitsowncharacteristics"marketcompetitionintheChinesecommunicationsmarket,andranksamongtheworld'sfirst-classtelecomoperators!
ChinaRadioandTelevision
AsoneofthemainbodiesofChina'stripleplaypilotwork,ChinaRadioandTelevisionNetworkCo.,Ltd.,anational-levelcablenetworkcompany,wasofficiallyregisteredonApril17,2014Established,thecompanytypeisalimitedliabilitycompanywitharegisteredcapitalof4.5billionyuan.Itwillsoonparticipateinthetripleplaycompetitionasthemainmarketofmycountry'scableTVnetwork,whichisconducivetothelong-termdevelopmentoftheindustry.
Interoperabilitybarriers
WiththerapiddevelopmentofwirelessInternet,theproblemofdockingbetweenwirelessInternetanddifferentwiredInternetandtheincreaseofaccessspeedhavebeguntosurface.
Interconnection
Chinahas9for-profitandnon-profitInternetincludingChinaTelecom,ChinaNetcom,ChinaMobile,ChinaUnicom,GoldenBridgeNetwork,EducationNetwork,etc.Networkoperatingunitsandhundredsofinter-provincialISPs(Internetaccessserviceproviders).Thereisahugegapbetweennetworkoperatingunitsintermsofnetworkscale,numberofusers,andonlineresources.ChinaTelecomandChinaNetcomaredominantin21provinces,autonomousregions,andmunicipalitiesinthesouthand10provinces,autonomousregions,andcitiesinthenorth.
IntermsofInternetaccess,GongShuangjin,anexpertattheInstituteofTelecommunicationsResearchoftheMinistryofInformationIndustry,believesthatthekeytoInternetaccessisintercommunicationratherthaninterconnection.BecausetheinterconnectionthatInternetuserscanexperienceisthespeedofinterconnectionbetweentheInternet,fromthisperspective,theproblemofinterconnectionbetweentheInternetisnotjustasimplehorizontalinterconnectionofsimilarnetworks,butexpandsintocross-network,cross-regional,andCross-businessandcross-borderinterconnectionissues,includingthree-dimensionalintercommunicationissues,havethecharacteristicsofdiversification,multi-level,andcomplexity.
Afteryearsofeffortsbyrelevantdepartments,theinterconnectionbetweentheInternethasalsoachievedcorrespondingresults.TheInternethasalreadybeeninterconnected,andatleasttheinterconnectedphysicalnodesarewidelylaid.However,thisonlyrealizestheintercommunicationbetweenseveralmajorbackbonenetworks,anddoesnotfundamentallysolvetheinterconnectionandintercommunicationproblemsoftheInternet.AstheInternetinvariousregionsisnotinterconnectedlocally,allcross-networktraffichastopassthroughthreeNAPpoints,buttherearestilltwomajorproblemsthatmustberesolved.Ontheonehand,thereisaproblemofintercommunicationbetweentheInternet.Sinceonlineinformationsourcesaredistributedindifferentnetworks,ifauserwantstovisitalocalwebsiteofanon-localoperatingunit,heneedstodetourBeijing,ShanghaiorGuangzhou.Thespeedofthenetworkservicecanbeimagined.,Intercommunicationisonlyaconceptualintercommunication,andthequalityofnetworkservicesisgreatlyreduced.
Ontheotherhand,itisawasteofresources.AlargeamountoftrafficcircumventstheNationalInternetExchangeCenter,occupyingalargeamountofnetworkbandwidth.Inordertoimproveservicequality,someICP(Internetcontentserviceproviders)arealsoforcedtoaddequipmentondifferentnetworks,whichhascausedagreatwasteofnetworkresources.
Therefore,ithasbecomethekeytoeffectivelysolvetheproblemofinteroperabilitybetweentheInternet.Moreover,withtheintegrationanddevelopmentofnetworksandtheIP-basedlargenumberofservices,next-generationnetworkswillinevitablyfacethesameinterconnectionissuesastheInternet.
WirelessandWired
China'swirelessInternetindustryhasbeguntotakeshape.AccordingtoaCNNICreport,asoftheendofJune2007,thenumberofWAPusersinChinawasapproximately44.3million,thenumberofWAPsiteswithindependentwirelessdomainnameswasapproximately65,000,andthenumberofWAPwebpageswasapproximately260million.
ThesewirelessInternetusershaveagreatdemandforaccessingdifferentnetworks.Conversely,wiredInternetusersalsohavethesameneeds.Facedwiththesetwousergroups,especiallythewirelessInternetusergroup,theyhopetobeabletoaccessthefixedInternetthroughthemobileInternetsoastobeabletousesomemorematurenetworkapplications.ThishascreatedademandforinterconnectionbetweenthewirelessInternetandthewiredInternet.
InviewoftheinterconnectionbetweenwirelessInternetandwiredInternet,somepeopleintheindustrybelievethatthisinterconnectiondemandisnotonlyforusers,butalsoformanyInternetcompanies.OnthetraditionalInternet,therearemanymaturecommercialapplications.HowtoloadthesematureapplicationsonthewirelessInternetandpromotethedevelopmentofthewirelessInternetindustryisthe"dream"ofmanymobileInternetcompanies,butthismustbebasedontheinterconnectionofthetwonetworks.Intercommunication.
RelevantpersonsinChinaTelecompointedoutthattheinterconnectionbetweenthewirelessInternetandthewiredInternetiseasierthantheinterconnectionbetweenthetraditionalInternet.Communicationtechnologyisdevelopingrapidly,andmanytechnologiessupporttheaccessandconstructionofvirtualsitesonthewirelessInternet.Therefore,itiseasiertosolvetheproblemsofintegrationandinterconnectionofthetwonetworks.
Efficiencycompetition
Whensolvinginterconnection,thereisabalancebetweenefficiencyandcompetition.Yangfan,aconsultantfromChinaResearchInstituteBofengTelecom,pointedoutthatwhendifferentnetworksareinterconnected,therearenetworkexternalities.SincemostoftheonlineinformationsourcesaredistributedontheInternet-dominantoperator'snetwork,smalloperatorswillinevitablybequestionedbyusersaboutnetworkservicequalityissuessuchasslownetworkspeedswhendevelopingservices,whichisnotconducivetobusinessdevelopmentandtheindustryFullcompetition.
Fortheinterconnectionandintercommunicationbetweendifferentnetworks,relevantstandardsmustbeformulatedandoverallplanningmustbecarriedout,especiallytheinterconnectionandintercommunicationbetweenInternetbackbonenetworks,soastoensurethequalityofInternetcommunicationandtrulyachieveIntercommunication.HepointedoutthattheserulesandstandardsmustincludenotonlyplanningtheInternetnetworkframework,butalsoresearchingandformulatingindustrystandardsfortheentireInternetcommunicationqualityandformulatingcorrespondingsupervisionandpunishmentmechanisms,soastoimprovetheoverallnetworkefficiencyinthecompetition.
Inordertoadapttothefuturedevelopment,relevantdepartmentshavedoneconsiderableworkontheinterconnectionandintercommunicationoftheInternet,includingregularnotificationandsupervisionofthequalityofInternetcommunications,andurgingrelevantunitstoexpandthebandwidthoftheInternettoalleviatetheproblemofbandwidthshortage;FormulatescientificandreasonableInternetinter-networksettlementpolicies,andpromoteInternetinterconnectionthrougheconomicmeans;paycloseattentiontotheproblemsexistingintheoperationoftheInternet,studyandsolvetheproblemofinter-networkbandwidthoccupation,andimprovetheInternetuserexperience;guidevarioustelecommunicationsbusinessoperatorsExploremorescientificandreasonablebusinessmodels,buttheseneedtobefurtherpromoted,especiallyfortheinterconnectionbetweenthemobileInternetandthefixedInternet.
Networkoperatorshavetheresponsibilityandobligationtocarryouttheinterconnectionandintercommunicationbetweendifferentnetworks.Undertechnicallyfeasibleconditions,theinterconnectionandintercommunicationshouldbecarriedoutinaccordancewitheconomicrationalityandensuringtheeconomicinterestsofbothparties.Infact,Itisbeneficialtothedevelopmentofbothparties,especiallythedevelopmentofnewnetworkoperators.Atthispoint,large-scalenetworkoperatorsshouldnotsetupinterconnectionbarrierstoensuretheimplementationofinterconnectionbetweennetworksandtheeffectivedevelopmentofmarketcompetition.
Developmenttrend
Inthe3Gstage,adoptthepositioningof"GSMasthevoiceservicenetworkandTDasthedataservicenetwork",relyingonthehigh-quality2Gnetworktoprovidevoiceservices,combinedwithsomeTDhigh-speedDataservicestodealwithChinaTelecomandChinaUnicom's3Gnetworkisstillintheprocessofoptimizationisalsoasafepath.
Threenon-standards
AllTDterminalsmeetthe"threenos"specifications,thatis,onedoesnotchangethenumber,twodoesnotchangethecard,andthreedoesnotneedtoregister,theoriginal2GusersonlyneedtopurchaseTDterminalcanbeconvertedtoTDuser.Ontheonehand,thismoveistotrytoeliminatethebarrierstoswitchingnetworksforexisting2Gusers,andontheotherhand,italsoprovidesconvenienceforopeningterminalchannels,whichisconducivetoattractingmoreterminalmanufacturers,enrichingmobilephonetypes,andimprovingterminalbottlenecks.
Leading
ChinaTelecomtakestheleadintheplanningofconvergedservices.Theprovisionofconvergedservicesofmobile,fixed,Internetandinformationapplicationsreflectstheadvantagesoffull-serviceoperators.UnderthenewCDMAbrand"Tianyi",arefreshingCDMAnetworkwasdisplayed.Someproductsarenotverymatureyet,andtheiroperationalcapabilitiesneedtobetestedbythemarket.
ChinaTelecomhasadoptedacentralizedprocurementandfullycustomizedterminalstrategy,whichisconducivetothepromotionof3Gvalue-addedservices,andalsohelpstoencourageterminalmanufacturerstotakeadvantageofCDMA.Invest.
Dilemma
Sofar,ChinaUnicomhasnotshownaclearbusinessstrategytotheoutsideworld,includingthedevelopmentstrategyofWCDMA,whichmaybeaffectedbytheongoingcorporateintegrationprocess.JudgingfromtheperformanceofWCDMAalone,itsterminalandbusinessadvantagesareobvious.ThechallengeforChinaUnicomishowtopersuadeuserstoupgradeto3Gnetworks.
The2008ChinaInternationalInformationandCommunicationsExhibitionwillbeheldinBeijingfromOctober21stto25th.AfterthereorganizationofChina’stelecommunicationsindustry,threenewoperatorsmadetheirdebutattheexhibition..The16thChinaInternationalTelecommunicationsEquipmentTechnologyExhibition,whichhasbeenheldinBeijingforthe16thtime,isoneoftheworld'slargestICTexhibitions.ThecontentoftheexhibitioncoversallfieldsoftheentireICTindustry.Telecomoperators,networkandterminalequipmentvendors,softwarevendorsandotherindustrychainrelatedmanufacturersdisplayednewproductsandnewideasattheexhibition,andindustryexpertspublishedandexchangedindustryviewsatvariousforumsattheexhibition.Therefore,thecommunicationexhibitionhasalwaysbeenagoodplatformtoobservethedevelopmenttrendoftheindustryandthecompany.In2008,"ChinaInternationalCommunicationEquipmentTechnologyExhibition"wasrenamed"ChinaInternationalInformationandCommunicationExhibition",whichreflectedthetransformationofthecommunicationindustryfromfocusingonequipmenttechnologytofocusingonservices.
Wevisitedthistelecommunicationsexhibition,andthemainfocusisonthebusinessdisplayofthethreetelecomoperatorsin3Gandthesituationoftherelatedindustrychain.Wehopethatthroughtheinspection,wecanhavesomeinsightsonthefuturetrendoftheoperators.Restrictedview.
Riskhedgingstrategy
ChinaMobilehasundertakenthenationaltaskofoperatingChina'sindependentandinnovative3Gcommunicationtechnology-TD-SCDMA(hereinafterabbreviatedasTD).Comparedwiththeothertwo3Gtechnologies,WCDMAandCDMA2000,TDhastheshortestcommercialtimeandthelowestmaturity.WiththeprospectthatChinaTelecomandChinaUnicomwilloperateCDMA2000andWCDMArespectively,peoplearegenerallyconcernedaboutwhetherTDwillbecomean"elephantkiller"thatwilldragChinaMobile.ThisconcerncanalsobeconfirmedbyMr.WangJianzhou,ChairmanofChinaMobile,"TDisthebiggestasymmetriccontroloverChinaMobile".So,asahugebusinessriskforoperators,cantheTDindustrychainimprovequicklyandeffectivelyreducetherisk?AndhowwilloperatorsfaceandmanageTDrisks?
Forthefirstquestion,judgingfromtheinformationreflectedinthiscommunicationexhibition,therearebothgoodnewsandbadnews.ThebadnewsisthattheterminalbottleneckofTDisstillobvious.ComparedwiththeexistingGSMmobilephones,themobilephonesexhibitedarefarbehind.Theuserexperienceintermsofdesign,craftsmanship,stability,anduser-friendlinessisstillunacceptabletoconsumers.Amongthedominantmanufacturersof2Gmobilephones,onlySamsunghaslaunchedamorematureTDterminal.ThegoodnewsisthatMediaTek,whichhasspawnedthe"counterfeitphone"marketwithitsintegratedchipproductsformobilephones,demonstrateditsTDchipseriesforthefirsttime,thusenteringtheTDindustrychain.ItcanbeexpectedthattheadditionofMediaTekwillopenupapathfortheimprovementofTDterminals.Inaddition,accordingtomediareports,NokiaSiemensNetworksisactivelypreparingtoinvestinthedevelopmentofTDterminals.Inouranalysis,duetotheimpactofthefinancialcrisisonoverseasoperators,futureinvestmentexpectationshavefallensharply.ForequipmentvendorssuchasNokiaSiemensNetworks,China'sTDmarketisrelativelymoreattractive.IfyoucanseetheTDmarketreallystart,itisverylikelytoinvest.WebelievethattheimprovementandoptimizationofTDterminalmanufacturerscanbeexpected,butwhetherthetimerequiredcanmeettherequirementsofmarkettimingisstillabigrisk.
Forthesecondquestion,analyzingtheinformationdisclosedinthisexhibition,andcombiningsomeofChinaMobile’sTDdevelopmentmeasures,webelievethatChinaMobileisactivelyfacingTDrisksandhastakenstepstoavoidRiskmeasures.Firstofall,afterChinaMobilejoinedtheTDindustryalliance,itwillleadthedevelopmentofTDtoTD-LTEandstrivetoestablishTD-LTEasaninternational4Gstandard.UnlikethethreeseparatetechnicalsystemsofTD-SCDMA,WCDMAandCDMA2000inthe3Ginternationalstandardpattern,TD-LTEandanother4Gstandard,LTE-FDD,haveacomplementaryrelationship.Thetwocanbeusedasatechnicalsystemwhendifferentfrequencybandsarerequired.Oftwoapplications.Therefore,thereismuchlessresistanceontheroadtoTD-LTEbecomingthe4Ginternationalstandard.ManyinternationaloperatorsandequipmentvendorshavealreadystatedthattheywillsupportTD-LTEandLTE-FDDatthesametime.ThepossibilityofTD-LTEbecomingtheinternationalmainstreamstandardVerybig.Inthisexhibition,DatangMobiledemonstratedtheTD-LTEservice.Accordingtotheresultsofthedemonstration,TD-LTEwirelessdatatransmissionhasadownlinkrateofupto100Mbpsandanuplinkrateof50Mbps.ChinaMobile'sTD-LTEstrategywillbeabletosolvethedomesticshortcomingsoftheTDindustrychainandapplicationmarket,andbuy"insurance"forTDfromalong-termperspective.
Secondly,ChinaMobileclarifiedthepositioningof"GSMasavoiceservicenetworkandTDasadataservicenetwork"intheTDnetworkconstruction,andadoptedHSDPAtechnologywithhigherbandwidthinthesecondroundofTDconstruction..WehaveseenthatZTElaunchedtheworld'sfirstTD-HSDPAstandardmobilephoneterminalatthiscommunicationsexhibition(seeFigure1).Inthisway,beforeTD-LTEcanbecommercialized,ChinaMobilecanprovidevoiceserviceswithhigh-quality2Gnetwork,combinedwithsomeTDhigh-speeddataservices,enoughtocopewithChinaTelecomandChinaUnicom's3Gnetworksthatarestillintheprocessofoptimization.The4Gstandardiscommerciallyavailable.
Finally,ChinaMobilerequiresallTDterminalstomeetthe"threenoes"specifications,thatis,ifonedoesnotchangethenumber,thenumberthattheuserusesin2GwillstillbeusedafterjoiningTD;second,ifthecardisnotchanged,theuserwillThemobilephonecardusedcanbeuseddirectlybyinsertingtheTDmobilephone;thirdly,registrationisnotrequired,aslongasthenetworkcanidentifyandknowwhich2GusersareconvertedtoTDusers,usersdonotneedtogotothebusinesshalltoapply.Ontheonehand,ChinaMobile'smoveistotrytoeliminatethebarriersforexisting2Guserstoswitchnetworks,andontheotherhand,italsofacilitatestheopeningofterminalchannels.Theopeningofterminalchannelsisconducivetoattractingmoreterminalmanufacturers,enrichingthetypesofmobilephones,andimprovingterminalbottlenecks.
Webelievethatthroughthesemeasures,ChinaMobilewilllargelyavoidTD’soperatingrisksandensureahighdegreeofstrategicflexibility.
Strategy
Asearlyas2004,Mr.WangXiaochu,chairmanofChinaTelecom,proposedtheideaofacquiringamobilenetworkofChinaUnicom.Untilthisreorganizationofthetelecommunicationsindustry,Unicom'sCDMAwassoldtoChinaTelecom,fouryearshavepassed.Inthepastfouryears,duetotheprospectofpossiblesales,ChinaUnicomhasrelaxedthedevelopmentofCDMA,andtheglobalCDMAindustrychainhasalsoshownweakness.CanChinaTelecom,whichisstrugglingwiththedeclineofthefixednetworkandeagerformobileservices,gainaplaceinthemobilemarketwithCDMA?WilltheCDMAindustrychainberevivedwiththeadditionofChinaTelecom?
Atthistelecommunicationsexhibition,ChinaTelecom’sthemeisveryclear,showingaclearintegratedbusinessplan.Facingthethreemajormarketsofgovernment,enterprise,familyandindividuals,withBusinessPilot,Mye-HomeandTianyiasthethreemajorcustomerbrands,undereachcustomerbrand,productsthatintegratefixednetwork,mobileandInternetinformationserviceshavebeenlaunched,tryingtoachieveConvergedservicesprovideuserswithmoreconvenient,moreeconomicalandmorepersonalizedvalue,whichfullyreflectsthefull-servicedifferentiationstrategybasedonitsownadvantages.
TianyiisapromotionbranddesignedbyChinaTelecomforCDMAbusiness.IttakesInternetmobilephonesasthemarketpositioning,andcustomizesInternetandinformationservicessuchasInternetStar,NumberBestCommunication,MobileNewspaper,MobileDownload,LoveMusic,etc.ontheterminal.Classapplication.ConnectedSkyandNumberBestcomareChinaTelecom’soriginalproductsbasedontheInternetandfixednetworks.AfteracquiringtheCDMAbusiness,theydevelopedamobileversion,whichnotonlyprovidesdifferentiatedfunctionsforTianyi,butalsoexpandsnewchannelsfortheoriginalbusiness.Mye-homeexhibitedwirelessbroadbandservices.Usingawirelessbroadbandinternetcardandaunifiedaccount,userscanflexiblychooseWiFi,CDMA,homewireless,ADSLandotherInternetaccessmethodsprovidedbyChinaTelecomaccordingtodifferentlocationsandtariffs.,Therebyeffectivelyexpandingtheuser'saccessrange,improvingtheeconomyandconvenienceofuse.BusinessLeaderexhibitedmobileofficeservices,providingenterpriseswithmobileinformatizationsolutionswithfunctionssuchasmobilemail,textmessages,andmobileOA.TheadvantageofthecompanyisthatChinaTelecomdemonstrateditsleadershipinconvergedbusinessplanningatthisexhibitionandalsodemonstratedabrand-newCDMAnetwork.However,accordingtoouron-sitetrialexperience,someproductsarenotyetmature,andtheiroperationalcapabilitiesstillneedmarkettesting.
FromtheCDMAterminalondisplay,thegapwiththeGSMterminalisstillobvious,butitisbetterthanTD.ChinaTelecomhasadoptedacentralizedprocurementandfullycustomizedterminalstrategy,whichisconducivetothepromotionof3Gvalue-addedservicesontheonehand,andontheotherhand,itisalsoconducivetoencouragingterminalmanufacturerstoinvestinCDMA.Inaddition,duetotheveryfastupgradingofCDMAto3G,ChinaTelecomwillbethefirstoperatortoprovidemature3Gservicesinthedomesticmarket,whichisalsoanattractiveaspectforequipmentvendors.ItcanbeexpectedthatthebackwardsituationofCDMAterminalswillbereversedassoonaspossible.
3Gstrategy
ChinaUnicom,whichhaschangedthemostduringtherestructuringofthetelecommunicationsindustry,retainsitssecond-largestmarketpositioninthedomesticmobilemarket,andhaswonthefuturechoiceofWCDMAasthe3GnetworkstandardThegreatestopportunity.Ofcourse,ChinaUnicomisalsofacingadifficultintegrationprocesswithChinaNetcom.HowdoesChinaUnicomplantodevelopWCDMAnetwork?Canittakeadvantageofthemostmature3GtechnologyofWCDMAandtaketheleadinthe3Gmarket?
Fromtheplanningofdisplaycontent,thebusinessthatChinaUnicomdisplayedisonlyalistoftheproductsofthetwocompaniesbeforethemerger,andthereisnointegratedbusinessplan.ThehighlightisthedemonstrationofWCDMAandrelatedservices:streamingmedia-basedmobileTV,mobilevideosurveillance,HSPAhigh-speedInternetaccesscard,non-contactICcardmobilewallet,etc.Fromthedemonstrationeffect,WCDMAdoesshowitsmatureandstableside.
Significantevents
OnNovember5,2015,inresponsetotherumorsofthemergerofthethreemajoroperators,therelevantpersoninchargeoftheMinistryofIndustryandInformationTechnologymadeitclearthatthemergerandintegrationofoperatorshasnotbeenpromoted.
OnNovember5,2015,ZhangFeng,chiefengineerandspokespersonoftheMinistryofIndustryandInformationTechnology,saidthatthedevelopmentandintegrationofenterprisesisdeterminedaccordingtomarketdemand."Inthenextstep,wewillconsiderandstudytheissueofdeepeningreformbasedontheunifieddeployment.Wehavenotdoneanyworkonthemergerandintegration."
Personneladjustment
August24th,ChinaTheOrganizationDepartmentofficiallyannouncedthatShangBing,theviceministeroftheMinistryofIndustryandInformationTechnology,tookoverasthechairmanofChinaMobile,thecurrentchairmanofChinaMobileXiGuohuaretired,andthechairmanofChinaTelecomWangXiaochuandthechairmanofChinaUnicomchangedtheirpositions.
Summary
Inconclusion:Forthegroupcustomermarket,notonlyneedtoprovidehigh-performancecommunicationproducts,butalsoneedacomprehensiveandthree-dimensionalservicesystemsupport,frombusinessattributestodifferentiatedservicesFromtechnicalsupporttocustomerrelationshipmaintenance,thisstreamlinedserviceisamagicweapontoseizethegroup’scustomermarket.Operatorsneedtotransitionfromnetworkadvantagestoservicecapabilities,andtheymustconstantlyadjusttheirbusinessandservicestrategiestomeettheactualneedsofgroupcustomersinordertoestablishacompleteservicesystem.