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Time to issue 3G telecom licenses: Minister
(Shanghai Daily)
Updated: 2005-12-20 16:02 It's time for China to issue third-generation
telecom licenses, Vice Information Industry Minister Xi Guohua said yesterday,
Xinhua news agency reported.
China has about 5 million new mobile phone subscribers every month. Unless 3G
licenses are issued soon, there will be a huge waste for consumers and telecom
operators as their handsets and equipment will be outdated, Xi said in Beijing.
He said the technologies for the 3G network and handset terminals have been
tested. Issuing 3G licenses will be a good chance to encourage competition in
China's telecommunications industry.
The third-generation technology network provides higher-speed data
transmissions via mobile phones and allows users to watch videos, play 3D games
and conduct videoconferences.
China is expected to issue 3G licenses at the start of next year, and telecom
operators will be appointed to build networks based on three technologies -- the
European wideband-CDMA, the US-based CDMA2000 and the homegrown TD-SCDMA.
Network testing on the TD-SCDMA standard finished this year and it is ready
for commercial use. Six major 3G system equipment providers -- Datang Mobile, TD
Tech, ZTE, Putian, Alcatel-Shanghai Bell and Nortel -- have developed four sets
of system equipment and participated in the network testing.
China's 3G equipment market will reach 60 billion yuan (US$7.43 billion)
annually in 2006, and second-generation equipment will be phased out of the
market by 2010, according to earlier reports.
Xi said the voice costs of 3G are only half 2G technology, but the production
costs for 3G mobiles are more than double 2G ones.
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