Based on related announcements and notices, State Radio Regulation Bureau of Ministry of Industry and Information Technology (MIIT) of China formulated and released several days ago Technical Requirements for 5G Mobile Communications System Base Stations in 2100MHz Frequency Range to satisfy the demands of 5G applications and ensure compatibility between the 5G mobile communications system in 2100MHz frequency range and other radio businesses. This announcement removes blocks for further steps in China Telecom and China Unicom’s joint efforts to build and share 5G networks. It means that the “3.5G+2.1G” dual-frequency range 5G strategy of China Telecom and China Unicom can be implemented in the open and their coordinated efforts for innovation of the world’s widest TDD (200M) and FDD (2x40M) frequency spectrum can be pushed forward to make the best of the frequency spectrum and achieve a 4-5 times improvement of uplink experience and 7-9db improvement of depth coverage.
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China has yielded encouraging results in promoting the development of new-generation mobile communication technology and industry with effort, China's Vice Minister of Industry and Information Technology, Liu Liehong said. Up to date, China has cumulatively built over 718,000 5G base stations, accounting for 70% of the world's total, and the standalone (SA) mode of 5G network has covered all cities in the country. Besides, 5G discharge of usage (DOU) is 50% higher than that of 4G, based on over 200 million 5G terminal connections. At present, there are 218 5G phones on the Chinese market, of which mid-to-high-end phones priced above RMB 2,000 account for 90%. 5G modules have achieved small-scale shipments and have been put into use in industrial gateways, smart homes, and other fields.
On the afternoon of March 8th, Xiao Yaqing, Minister of Industry and Information Technolgy, said in the ministers' "passage interviews" at two sessions that efforts should be made to develop emerging strategic industries, including 5G, new materials, new equipment, as well as information technology and chip of widespread attention. However, blind repetitive construction and rush into the emerging industries should be avoided. We should ensure orderly development based on market principles and the rule of law. Besides, industry cluster development should be encouraged particularly. During the 13th Five-Year Plan Period, China made great achievements in developing industry clusters, which should be further advanced. In 2020, the development of the 5G and chip industry both gained policy support. 5G base stations constructed amounted to 718,000.
On March 9, China Telecom announced its annual performance in 2020, its revenue came in at RMB 393.56 billion, up 4.7% year-on-year. The company made a net profit of RMB 20.85 billion last year, a 1.6% increase from 2019. The financial report shows China Telecom detailed plans of maintaining an elevated 5G development. It has deployed 380,000 sites in use. The operator has 86.5 million 5G package subscribers in 2020 with a penetration rate of 24.6%. Its mobile subscribers inched up to 351 million with a net increase of 15.45 million. The company plans put in a capex of RMB 39.7 billion to double its total number of base stations to 700,000 and covers all counties and some towns with 5G. Ke Ruiwen, chairman of China Telecom, stated that this year, China Telecom is targeting a net increase of 12 million mobile users, 80 million 5G subscribers and 5 million broadband Internet users. The company announced its application to list on the main board of the Shanghai Stock Exchange on the same day. It aims to offer shares of not more than 13% of total shares outstanding. The offering proceeds would be used for themes including 5G networks establishment projects, cloud integrated network infrastructure projects, scientific and technological innovation R&D projects.