China opens its 3G Mobile Phone Market for Overseas Players

Delhi, India (PressExposure) June 11, 2007 -- In its recent market research report on “3G Market Outlook (2007-2010)" RNCOS has found, “Globally, 3G subscribers’ base will likely grow at a CAGR of 55.93% over the five year period spanning 2006-2010. Asia-Pacific region will remain the major contributor in this growth.”

Ministry of Information Industry, China, has given its consent to the use of 3G mobile-phone standards namely, CDMA2000 – American standard, and WCDMA – European standard. With this approval to overseas vendors the market has become fairly competitive for local TD-SCDMA standard. Reportedly, all four key operators in China, comprising of China Mobile, China Telecom, China Unicom, and China Netcom, are investing in 3G.

By allowing the inclusion of these two standards in Chinese mobile market, the govt. has not only strengthened its “technology-neutral” stance, but also provided an open marketplace for other technologies, say analysts.

"The three standards will enable 3G mobile phone manufacturers and operators to reach consensus in defining the demand for products, cooperating in developing relevant apparatus, as well as integrating and applying the technological system," stated the official website of Ministry of Information Industry in China. Slashphone reported this on May 18, 2007.

Govt. has promised to issue licenses for the three standards in time for the upcoming Olympics (2008 Beijing Olympics). However, homegrown standards will most likely receive the first license, say industry experts.

Beijing PDAY Research Center’s senior researcher, Shen Zixin, told Interfax that these licences would allot the carriers countrywide operations however TD-SCDMA was far ahead of its competitors owing to pre commercial use in various regions. TMCnet reported this on May 18, 2007.

RNCOS report on "3G Market Outlook (2007-2010)" notifies, “China’s 3G market will likely contribute significantly in expanding the 3G subscriber base in the region (Asia-Pacific) after the event (Beijing Olympics ’08). China is nowhere on 3G-map so far. It was only during March this year (2007) that China Mobile commenced first bidding round for the construction of TD-SCDMA network. And, it’s expected that network equipments’ procurement will be completed by the end of May 2007. Chinese government has put aside US$ 3.4 Billion for the construction of TD-SCDMA. Therefore, a big potential market for 3G players.”

Key issues addressed in this report include: Trends in 3G market with respect to subscribers, geographic segmentation, future prospects etc, successes factors in deployment of 3G technologies, what are the challenges associated, etc.

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Press Release Submitted On: June 11, 2007 at 1:18 am
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