China is making significant progress in expanding its 5G network infrastructure, with new research indicating that the country will add more than 600,000 5G base stations to a staggering 2.9 million by the end of 2023. This comes after the successful deployment of the world’s largest 5G network consisting of 2.3 million 5G base stations at the end of 2022. One of the key milestones in China's 5G journey occurred in May 2023, when China's four major mobile operators, China Mobile, China Telecom, China Unicom and China Guangtong, joined forces for a historic collaboration. Under the guidance of the Ministry of Industry and Information Technology, they announced the launch of the world's first 5G inter-network roaming service trial. This groundbreaking service enables customers to seamlessly access the 5G networks of other telecom operators and continue to use 5G services even outside the coverage area of the original operator. In 2023, the expansion of coverage is expected to drive 5G to surpass 4G and become the dominant technology in China's mobile market in 2026. By the end of 2028, 5G is expected to account for 65.1% of the total mobile subscriptions. China is a global pioneer in all aspects of 5G technology, from innovation to network deployment and real-world use cases. Due to the growing popularity of 5G, Chinese service providers have seen significant growth in mobile service revenues and reported average revenue per user (ARPU) in 2022. China Telecom's mobile service revenue grew 3.7%, while China Unicom's mobile service revenue grew 3.6%. China Mobile's mobile service revenue also grew 2.5%. In addition to the success of 5G, Chinese service providers have also capitalized on the digital transformation needs of state-owned enterprises to drive growth in cloud services, making it a lucrative business. China's Ministry of Industry and Information Technology said in June that it would open the 6GHz spectrum to 5G and 6G systems from July 1. China is the first country in the world to make the 6GHz band (6,425-7,125MHz) or part of it available for international mobile telecommunications services. Looking ahead, Chinese service providers should focus on innovative applications through the integration of cloud services and 5G networks. This approach will play a vital role in achieving digital transformation in various industries and creating new revenue sources for operators. China’s commitment to 5G expansion, combined with advances in technological innovation, has made the country a frontrunner in the global 5G race, paving the way for a more connected and digitally advanced future. |
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