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The Status Quo Of The Development Of The Communication Industry In 2018, 5G Drives The Next Development Of The Communication Industry From ZKTEL

- Jun 04, 2018 -

There is a news frow ZKTEL. ZKTEL is a company which produce 5G products, which including 10G AOC SFP+ production; 40G AOC QSFP+ production; SFP28 SR/LR production; SFP+ SR production; QSFP28 SR4; QSFP28 LR4 and so on. The prices of ZKTEL products is very competitive. Welcome to visit our websites, connect with our customer serviece, we will provide yours best service!

The Ministry of Industry and Information Technology recently revealed that five cities such as Wuhan, Hangzhou, Shanghai, Guangzhou and Suzhou have become China Mobile's first 5G pilot cities. According to the plan, before the end of the year, Wuhan will build over 100 5G pilot stations, and complete the construction and testing of the 5G experimental network, and realize the commercialization of the 5G military training meeting next year. According to the relevant person in charge of Wuhan Mobile, after the 5G network is used commercially, the communication rate can be increased by more than 10 times. It also has features such as ultra-high reliability, ultra-low latency, and large number of connections. Driverless, telemedicine, smart home, etc. Will gradually enter daily life. In recent years, China's telecommunications industry has developed rapidly and its major business indicators are improving. 5G will be the next opportunity for development.

I. The total volume of telecommunications services has increased substantially, and telecommunication revenue has accelerated

According to data from the Ministry of Industry and Information Technology, the preliminary calculation shows that the total telecommunications business in 2017 reached 2,755.7 billion yuan (calculated according to the constant unit price in 2015), an increase of 76.4% over the previous year, an increase of 42.5 percentage points year-on-year; the telecommunications business revenue was 126 billion yuan. Yuan, an increase of 6.4% over the previous year, an increase of 1 percentage point year-on-year. In January-February 2018, telecommunications business volume totaled 685.3 billion yuan, an increase of 117% year-on-year; telecommunications business revenue was 216.8 billion yuan, an increase of 4.9% year-on-year.


In 2017, the income from fixed communication services was RMB 354.9 billion, an increase of 8.4% over the previous year. The mobile communications business realized revenue of 907.1 billion yuan, an increase of 5.7% over the previous year, accounting for 71.9% of the telecommunications business revenue, which was a decrease of 0.5 percentage point from the previous year. Forward-looking that with the development of mobile communications, it is expected that the proportion of mobile communications revenue will continue to maintain an upward trend.


II. Steady growth of data and internet business

In recent years, China’s broadband strategy has accelerated the implementation of data and Internet services to accelerate development. In 2017, revenue from fixed data and Internet services reached RMB 17.1 billion in fixed telecommunication services, up 9.5% from the previous year, and the proportion of telecommunication services revenue increased from 15.2% in the previous year to 15.6%. , driving the growth of telecom business income by 1.4%, and contributing 21.9% to the growth of business revenue of the entire industry.

From the perspective of market segments, benefit from the significant increase in fiber access rates, and the convergence of home smart gateways, video calls, and IPTV has accelerated. In the whole year of 2017, the revenue of IPTV business was RMB 12.1 billion, which was an increase of 32.1% over the previous year. The revenue of the Internet of Things business increased by 86% compared with the previous year.


In 2017, revenue from mobile data and Internet services in the mobile communications business was RMB 548.9 billion, an increase of 26.7% over the previous year, and the proportion of telecommunications services revenue increased from 38.1% in the previous year to 43.5%, and the revenue The contribution rate of growth reached 152.1%.


Third, the 5G strategic deployment has been completed, will drive the next round of development of the communications industry

In August 2017, the State Council issued the Guiding Opinions on Further Expanding and Upgrading the Potential of Information Consumption for Sustaining Domestic Demand and pointed out that “Accelerating the research on 5G mobile communication (5G) standards, technical testing and industrial advancement, and striving to start commercial use in 2020 ".

Due to the wide application prospects of 5G, the 5G strategic high ground battle has been surging. In the face of competition from countries such as Europe, the US, Japan, and South Korea, Chinese companies have invested huge sums of money to develop R&D layouts in the areas of 5G technologies and network applications, and hope to eventually “take down” the 5G standard and thus occupy the leading position of the entire industry chain. At present, China Mobile, China Unicom and China Telecom have all announced 5G deployments. The specific timetable is as follows:


According to the "White Paper on 5G Economic and Social Impacts," forecasted by the China Institute of Information Technology, 2030, 5G-driven direct and indirect output will reach 6.3 trillion and 10.6 trillion yuan respectively. From the perspective of the industrial structure, the driving force for the growth of output has been successively shifted along with the deepening of the 5G commercial process. In the initial stage of commercial use of 5G, operators will launch network construction on a large scale. Equipment manufacturer revenue from the investment in 5G network equipment will become the main source of 5G direct economic output. It is estimated that by 2020, the total revenue from network equipment and terminal equipment will be about 450 billion yuan. , accounting for 94% of total direct economic output. In the mid-term of commercial use of 5G, the expenditure on terminal equipment and telecommunications services from users and other industries continued to increase. It is estimated that by 2025, the above two expenditures will be 1.4 trillion and 0.7 trillion yuan, respectively, accounting for the total direct economic output. 64% of output. In the later stages of commercial use of 5G, the income of Internet companies and 5G-related information services has grown significantly, becoming the main source of direct output. It is estimated that by 2030, the income of Internet information services will reach 2.6 trillion yuan, accounting for 42% of the total direct economic output.

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