China's major mobile network operators including China Mobile, China Unicom and China Telecom are to commercialize 5G technology by 2020, with basic research and testing to be complete by 2018, according to the ninth session of the International Conference on Wireless Communication and Signal Processing that was hosted by Nanjing-based Southeast University recently.
Leading Chinese telecom equipment providers like Huawei, and ZTE are accelerating their research in 5G technology, and cooperative efforts between Chinese companies and their European counterparts are also underway.
A joint working group between universities, research institutes and enterprises has been set up to promote the study of 5G in China and the formation of global standards.
As the next generation mobile communication technology, 5G is expected to raise network speeds 1,000 times, bringing vast business opportunities, especially in the Internet of things industry. It may also transport virtual reality, holographic images and other new technologies direct to people's lives.
China’s telecoms will spend a combined 2.8 trillion yuanon building out 5G mobile networks from 2020 to 2030. China’s 5G focus will play a big role domestically in terms of driving mobile usage. 5G’s ability to transmit data roughly 10 times faster than 4G, the current standard, according to Ericsson’s annual Mobility Report, will enable consumers to conduct more standard mobile activities and also add in data-heavy ones, like smartphone-based VR streaming and using artificial intelligence assistants.
China’s 5G subscriber count is expected to reach 588 million by 2022, according to an estimate from equity firm Jefferies. China is currently the largest 4G market, with 843.7 million 4G subscribers as of April 2017.
5G will spur new revenue for telecom and hardware makers. By 2030, China Mobile, Unicom, and China Telecom are expected to generate 7.9 trillion yuanin combined 5G-related revenue.
Legacy and emerging mobile services and technologies alike will see more adoption due to 5G speeds. Internet companies and application developers are expected to generate 10.7 trillion yuan in total 5G-related revenue from 2020 to 2030.
The 5G market is expected to have such a significant impact on the Chinese economy that it could account for 3.2% of Mainland China’s entire GDP in 2025, generate 8 million jobs, and add 2.9 trillion yuan in economic value by 2030. As demand for 5G services heightens, there will be a boom in new companies, employment opportunities, and sales of equipment.
