180.3 billion yuan!Who can share the “big cake” of 5G this year by the three major operators

As China Mobile, China Unicom, and China Telecom successively released their 2019 financial reports, the capital expenditure budgets and 5G-related investment plans of the three major operators for 2020 have also surfaced.

According to statistics from the Shanghai Stock Exchange, the total capital expenditure budget of the three major operators in 2020 is 334.8 billion yuan (RMB, the same below), a year-on-year increase of 11.6%. Among them, the 5G-related capital expenditure budget totaled 180.3 billion yuan, accounting for 53.9% of the total budget, an increase of 337.6% over 2019.

In addition to the 17 billion yuan that China Tower plans to invest in 5G, the 5G capital expenditure of basic telecommunications companies has approached 200 billion yuan this year, of which China Mobile alone accounted for nearly 100 billion yuan.

On March 24, the Ministry of Industry and Information Technology issued a notice on promoting the accelerated development of 5G, fully promoting 5G network construction, application promotion, technology development and security assurance, and supporting basic telecommunications companies with the goal of 5G independent networking (SA) to accelerate the development of major cities. network construction. The construction and application of 5G has shown a trend of rapid growth.

Race to overweight 5G investments

Compared with 2019, 5G will be the main battlefield for the investment and competition of the three major operators this year.

China Mobile stated that the capital expenditure budget for 2020 is 179.8 billion yuan, of which 5G-related investment plans are about 100 billion yuan, a year-on-year increase of 316.7%. In 2020, the company will build 250,000 new 5G base stations.

Recently, it has taken the lead in releasing the announcement on the centralized procurement of the main equipment of the 5G Phase II wireless network in 2020, and started the procurement of base stations with a total demand of about 232,000 stations in 28 provinces (autonomous regions and municipalities). At present, China Mobile has built and opened more than 50,000 5G base stations, providing 5G commercial services in 50 cities.

China Telecom’s 2020 capital expenditure budget is about 85 billion yuan, of which 5G capital expenditure is about 45.3 billion yuan, accounting for 53.3% of the total capital expenditure, a year-on-year increase of 387%. China Unicom’s 2020 capital expenditure budget is 70 billion yuan, and the 5G capital expenditure budget is about 35 billion yuan, a year-on-year increase of 343%.

From the perspective of progress and investment courage, China Mobile is far ahead in the 5G field. What about China Telecom and China Unicom? ——Co-build and share 5G base stations!

According to reports, China Unicom and China Telecom have opened a total of 50,000 shared 5G base stations, and the scale of 5G base stations available to both parties exceeds 60,000, saving about 10 billion yuan in investment costs.

China Telecom said that it will work with China Unicom to complete the joint construction and sharing of 250,000 new 5G base stations in the third quarter of this year, covering all cities across the country.

China Telecom and China Unicom have recently released the “2020 5G SA New Construction Wireless Main Equipment Joint Centralized Procurement Project Centralized Prequalification Announcement” to start the 5G SA wireless main equipment joint centralized procurement, with an estimated procurement scale of no less than 250,000 stations. In addition, China Telecom also announced that the centralized procurement of the main equipment for the new construction of the 5G core network in 2020 is about to start.

Compete for 5G users and downstream application market

The data shows that the three major operators have achieved a total revenue of 1,412.528 billion yuan, a net profit of 138.488 billion yuan, and an average daily profit of about 379 million yuan. Among them, China Mobile earned the most, with a net profit of 106.641 billion yuan in 2019, but a year-on-year decrease of 9.5%. China Unicom achieved a profit of 11.3 billion yuan, a year-on-year increase of 11.1%. China Telecom achieved a profit of 20.517 billion yuan, a year-on-year decrease of 3.3%.

It can be seen from the comparison that the main business growth of the three major operators has been weak. Therefore, the new opportunities of 5G will be the new territory that the three giants are actively fighting for.

The reporter noticed that in their annual reports, the three major operators all made forecasts and plans for the development of the C-side and B-side application markets during the year.

China Mobile pointed out in its annual report that the accelerated development of 5G will provide better carriers and more scenarios for the large-scale application of technologies such as artificial intelligence, Internet of Things, cloud computing, big data, edge computing, and blockchain, and promote the digitization of thousands of industries. Transformation and upgrading of digital life consumption.

China Mobile stated that it will accelerate the promotion of “three transformations”, that is, the business development will expand and extend from communication services to information services, and the business market will focus on the mobile market to the personal market, household market, government and enterprise market, and emerging markets. Make efforts to transform and upgrade the development mode from resource-driven to innovation-driven. Wang Xiaochu, chairman and CEO of China Unicom, also said that it is necessary to “accelerate the transformation of public products and accelerate the improvement of government and enterprise market management capabilities.”

Ke Ruiwen, chairman and CEO of China Telecom, mentioned that in the new year, China Telecom will accelerate the expansion of information services, promote the cultivation of 5G applications and the large-scale commercial use of SA, continue to enrich the smart home product system, and continue to cultivate smart home, cloud , the Internet of Things, and the new industrial ecology represented by Internet finance.

Market participants generally believe that with the popularization of 5G mobile phones and the improvement of 5G network coverage, the number of 5G users of operators will increase rapidly, and it is expected that operators will soon start a new round of 5G user competition.

According to the latest data released by China Mobile and China Telecom, as of the end of February, the cumulative number of China Mobile 5G users reached 15.399 million, and the cumulative number of China Telecom 5G package users was 10.73 million.

The Links:   DG32240-13 1MBI400VF-120-50

Related Posts