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Ministry of Industry and Information Technology: My Country Has Initially Built the World's Largest 5G Mobile Network

2021-04-21

Original title: Speed up and improve quality, and the tariffs are more beneficial to the people (authoritative release)


"Since the implementation of network speed-up and fee reduction in 2015, my country has built the world's largest broadband network infrastructure

in terms of speed-up, achieving the "same network and same speed" in rural and urban areas; in terms of fee reduction, the average tariff of fixed

broadband unit bandwidth and mobile network unit traffic has dropped by more than 95%." At the regular policy briefing of the State Council held

on the 19th, Liu Liehong, Vice Minister of the Ministry of Industry and Information Technology, said.


Since the "13th Five-Year Plan", what results have been achieved in my country's network speed-up and fee reduction? The State Council executive

meeting held recently deployed to continue to promote network speed-up and fee reduction. What is the focus this year? Relevant officials from the

Ministry of Industry and Information Technology and the State-owned Assets Supervision and Administration Commission introduced the relevant situation.


The user experience speed has increased by about 7 times compared with 5 years ago


"In recent years, my country's network speed-up and fee reduction work has achieved positive results. The speed of fixed broadband and mobile

networks has increased significantly, and the tariffs have dropped significantly, which has played an important role in improving the quality of life of

the people, reducing corporate costs, and prospering the digital economy." Liu Liehong said.


In terms of network capabilities, user speed has jumped significantly. Since the 13th Five-Year Plan, my country has built the world's largest information

and communication network. Looking at the fixed network, the proportion of fiber-optic broadband users has increased from 56% at the end of 2015 to

94% now, and the gigabit optical network covers more than 120 million households; looking at the mobile network, the scale of 4G base stations accounts

for more than half of the global total, 792,000 5G base stations have been opened, the number of 5G mobile terminal connections has reached 260 million,

and the 5G network in independent networking mode has covered all prefecture-level cities, initially building the world's largest 5G mobile network.

At present, the end-to-end user experience speed of my country's fixed broadband and mobile networks has increased by about 7 times compared with

5 years ago.


From the perspective of tariff levels, the reduction in fees is real. Over the past 5 years, the average tariff per unit bandwidth of fixed broadband and per

unit traffic of mobile networks has dropped by more than 95%. The average tariff per unit bandwidth of enterprise broadband and dedicated lines has

dropped by more than 70%, and various tariff reduction measures have benefited more than 1 billion users annually, with a cumulative profit of more than

700 billion yuan.


From the perspective of innovative applications, the results of integrated empowerment are remarkable. Network speed-up and fee reduction promote

the rapid popularization of various Internet applications and stimulate the potential of information consumption. The average monthly traffic of mobile

users has increased from 205MB at the beginning of 2015 to 10.85GB now, an increase of more than 40 times.


Not only that, by accelerating the filling of the gaps in rural network infrastructure, the urban-rural "digital divide" has been significantly narrowed.

At present, the proportion of administrative villages in my country with fiber optic and 4G access exceeds 99%.


Targeted fee reduction for small and medium-sized enterprises, the elderly and other groups


This year's "Government Work Report" proposes that the average broadband and dedicated line charges for small and medium-sized enterprises will be

reduced by another 10%; increase the construction of 5G networks and gigabit optical networks, and enrich application scenarios. What is the focus of

the new round of network speed-up and fee reduction, and how will it be implemented?


"This year, the focus of speed-up and fee reduction work will shift from network 'coverage and popularization' to 'speed-up and quality improvement',

and from 'universal fee reduction' to 'precise fee reduction'." Liu Liehong said.


In terms of network speed-up, the coordinated development of "dual gigabit" networks represented by 5G and gigabit optical networks will be promoted.

Recently, the Ministry of Industry and Information Technology issued an action plan, which clearly stated that it would take about three years to basically

build a "dual gigabit" network infrastructure that fully covers urban areas and qualified towns, and realize that fixed and mobile networks generally have

the ability to "gigabit to the home".


Liu Liehong proposed that this year, a larger range of gigabit optical network upgrades and home renovations will be carried out to orderly promote the

on-demand construction and deep coverage of 5G networks, while deepening the co-construction and sharing of telecommunications infrastructure.


In terms of reducing tariffs, precise fee reductions will continue to be implemented. Organize basic telecommunications companies as soon as possible,

and clarify the detailed measures for key groups such as small and medium-sized enterprises and rural poverty-stricken households, the elderly, and the

disabled. Liu Yulin, head of the Information and Communications Development Department of the Ministry of Industry and Information Technology,

introduced that at present, basic telecommunications companies have launched some specific implementation measures, such as carrying out enterprise

broadband speed-up and benefit-benefiting actions for small and medium-sized enterprises, and launching integrated product discounts such as

"cloud + network + application", which continuously reduce the cost of enterprise network and cloud use. A 50% discount on basic communication service

tariffs is proposed for rural poverty-stricken households. "We will continue to guide enterprises to pay more attention to key groups and launch more

targeted, differentiated and exclusive tariff plans or fee reduction measures that meet specific needs."


In terms of improving the rural information infrastructure network, Liu Liehong introduced that this year it is expected to support the construction of

10,000 4G base stations in rural and remote areas, and the number of administrative villages without broadband access will be dynamically cleared by

the end of this year.


Accelerate the transformation to emerging businesses and improve operational efficiency


How do central telecommunications companies balance the relationship between achieving economic benefits and fulfilling social responsibilities to

ensure the sustainability of speed increase and fee reduction?


Liu Shaowei, head of the Financial Management and Operation Bureau of the State-owned Assets Supervision and Administration Commission of the

State Council, introduced that during the "13th Five-Year Plan" period, central telecommunications companies have enhanced their ability to increase

speed and reduce fees by promoting development through investment and construction and promoting sharing through coordinated development.


From the perspective of investment, during the "13th Five-Year Plan" period, in accordance with the principle of moderate advancement, 4G construction

was accelerated and 5G investment was expanded. Fixed asset investment such as base stations accumulated to 1.7 trillion yuan, equivalent to 2.6 times

the net profit in the same period, of which 5G accumulated investment exceeded 200 billion yuan.


From the perspective of coordinated development, on the one hand, the integration of tower resources is promoted, and the level of tower co-construction

and sharing is improved. The tower sharing rate has increased from less than 15% at the beginning of its establishment to more than 80% at present,

which is equivalent to a cumulative reduction of 840,000 towers, saving more than 150 billion yuan in overall industry investment. On the other hand,

the coordinated development of 5G is promoted. China Telecom and China Unicom have jointly built more than 350,000 shared base stations, saving

more than 70 billion yuan in investment.


"During the 13th Five-Year Plan period, the central telecommunications enterprises have made every effort to increase speed and reduce fees. On the

basis of cumulative concessions of more than 700 billion yuan, the cumulative net profit has exceeded 650 billion yuan, with an average annual growth

of 4.3%." Liu Shaowei introduced that this year, the central telecommunications enterprises will continue to put the public and public welfare of the

communications industry first and provide communications services that benefit the whole people. On the one hand, the focus is on the layout of

cutting-edge and strategic industries such as 5G, industrial Internet, and big data, accelerating the transformation from pipeline business to new business,

and cultivating new growth poles for benefits. On the other hand, by strictly controlling management expenses, reducing sales expenses, expanding

the space for corporate benefit growth, and continuously tapping the potential for speed increase and fee reduction.