Posts filed under ‘China Telecom’
Interfax China reports that China Telecom plans to purchase 50 million CDMA handsets in 2009, of which around 20 million will be CDMA2000 1xEV-DO capable. Quoting an employee of the cellco’s handset division, Ma Daojie, Telecom opened bidding for the first CDMA2000 1x EV-DO contract at the end of 2008 and has since finished selecting terminals, including handsets and wireless data cards. The results of the tender will be released ‘soon’. Ma said according to his company’s calculations, the operator will sell an average of 50,000 CDMA handsets per day in 2009.
According to a spokesman for the Ministry of Industry and Information Technology, China Telecom and China Netcom (now part of China Unicom) have been ordered to close their XiaoLingTong (XLT, or Little Smart) PHS networks so as to clear the spectrum for the use of TD-SCDMA, the Chinese homegrown 3G standard. The low-cost PHS service grew rapidly following its launch in 1998, claiming more than 100 million subscribers at its peak. Its popularity prompted cellular operators China Mobile and China Unicom to slash prices, resulting in a fall in XLT users to 68.9 million at the end of 2008.
China’s three 3G mobile licensees will invest a total of RMB400 billion (USD58.5 billion) over the next three years in building out their networks, the Ministry of Industry and Information Technology announced today in a statement quoted by Reuters. According to a previous government statement issued in December, the three cellcos – China Mobile (licensed for the homegrown TD-SCDMA technology standard), China Unicom (W-CDMA licence) and China Telecom (CDMA2000-based concession) – are expected to invest USD41 billion in third-generation networks in the next two years, including up to USD29 billion in 2009. China Mobile earlier this month announced a 3G CAPEX of USD8.6 billion in 2009, whilst according to the Ministry’s latest statement, China Unicom and China Telecom will each spend around half the larger cellco’s total, USD4.4 billion, on 3G development this year. This amounts to an annual total CAPEX of USD17.4 billion, significantly less than the previous reported estimate of USD29 billion.
China assigned third-generation mobile phone licenses Wednesday to three carriers in a long-awaited step that is expected to prompt $41 billion in spending on new equipment.
Licenses were granted to China Mobile Ltd., China Unicom Ltd. and China Telecom Corp., the Ministry of Indutry and Information Technology said. Third-generation, or 3G, technology supports Web surfing, wireless video and other services and the start of service is expected to spur new revenue growth.
The awarding of licenses was delayed while China’s government developed its own technology to compete with two global 3G standards.
The Chinese-developed standard, TD-SCDMA, was assigned to China Mobile, the world’s biggest phone carrier by subscribers. That appeared to be an effort to make sure the new system has the financial and technical backing to succeed.
The two global standards, WCDMA and CDMA-2000, were assigned to China Unicom and China Telecom, respectively.
According to AIKresearch’s databse, China has 650 million mobile phone accounts, and Chinese carriers are expected to spend 280 billion yuan ($41 billion) on new equipment.
Such sales will be important to global suppliers Motorola Inc., Alcatel-Lucent SA, Nokia-Siemens Networks and Ericsson AB as demand elsewhere slumps. But they face competition from fledgling Chinese producers.
China’s Ministry of Industry and Information Technology today confirmed that the country will issue 3G mobile licences by the end of 2008 or early next year. Minister Li Yizhong said at a media briefing that China Mobile, China Unicom and China Telecom have prepared well for 3G licensing. ‘After the proper procedures, we will grant the 3G licences by the end of this year or early next year, as promised.’ Li estimates that network investment of the three major Chinese telecom operators will amount to over RMB200 billion (USD29.19 billion), which will stimulate China’s economy and help to fend off the financial crisis.
China’s 3G licensing has been delayed as a result of the government’s support for China’s home-grown 3G mobile telecommunications standard TD-SCDMA. It is believed that this standard still needs some more time to compete with rival technologies. Last year China Mobile rolled out a pre-commercial TD-SCDMA network in eight cities, which provided 3G services during the Beijing Olympic Games. Li confirmed that China Mobile will be granted a TD-SCDMA licence, while China Telecom and China Unicom will get licences based on CDMA2000 and W-CDMA standards respectively.