3G equipment investment will exceed 10 billion

ehk

3G equipment investment will exceed 10 billion [Copy link]

China's first phase of 3G equipment investment will exceed 10 billion

2006-7-7

According to the latest research report released by Analysys International, based on the forecast of China's 3G user scale, China's first-phase 3G network scale should reach 10 million to 20 million lines to meet user needs. Calculated at 1,000 yuan per line, the first-phase 3G equipment investment will reach 10 billion to 20 billion yuan.

　　The iResearch report believes that if China Mobile obtains the first 3G license, it will be able to undertake the construction of the 3G network with its capital strength. If China Telecom obtains the first 3G license, although the financial pressure is relatively large, it can still be solved through indirect financing and other means.

　　If China Netcom or China Unicom obtains the first 3G license, they will not be able to afford the construction of 3G network. Netcom sold Asia Netcom for $350 million, which can be seen as a preparation for 3G. But in any case, Netcom or Unicom are not able to build 3G network alone with their capital strength.

　　The report recommends that Netcom and Unicom set up a joint venture to jointly build a 3G network.