China obtained remarkable global 3G market share in 2009 when 3G services started in China.
Benefiting from the 280 billion investments by the three major Chinese operators on 3G infrastructures and networks, the sale of 3G base stations was greatly increased. In addition to Chinese domestic enterprises such as Huawei, ZTE, and Datang, some foreign companies such as Ericsson, Alcatel-Lucent and NSN, in a sharp contrast to the financial crisis impacted international market, also made an increase in their profit in China.
The operators made most of their effort in the network construction and coverage optimization in 2009. It will take some time for the users to accept 3G services, so the three operators cannot expect such high profit as that of 2G services within a short period, but still need to build the user groups and attract the users by a huge sum of charge subsidy. According to the statistics issued by MIIT in October, the total number of the 3G users of the three major operators in China has not reached 10 million yet, but with the optimization and improved maintenance of 3G networks as well as the enlargement of network coverage, the number of users will be definitely increased and the growth pole of the operators will be added also. In 3G and post 3G era, data service will gradually take the place of vocal service to dominate the market, and the mobile terminals will work as the access terminals of the mobile Internet instead of simply being the vocal and text communication device, which means a revolutionary change of individualized consumption for the users, so the Quantitative to Qualitative Change will go through the habit formation and user accumulation and the operators will consequently acquire remarkable profit. According to the statistic record, in Japan where 3G network was first developed, the mobile Internet browsing has been 3 times more than that of fixed browsing in 2008. The potential of China¡¯s mobile market will go without saying if the large number of China¡¯s Internet users get used to the 3G mobile Internet access such as Japan.
Besides the 3G network construction, China pays special attention to the evolution and development of the future mobile communication systems. TD-LTE has grown mature and won certain international support. MIIT conducted a series of TD-LTE outfield tests in 2009, and planned to deploy the first TD-LTE trial network in Shanghai during EXPO2010, which will involve many enterprises in the construction and tests such as Huawei, ZTE, Alcatel-Lucent, and NSN.
TD-LTE-Advanced, proposed by China has become one of the six candidate standards in ITU, and China has proposed over 10% technical proposals on FDD-LTE-Advanced standards. If TD-LTE-Advanced broke through from the 4G standard competition, China, possessing the independent IPR 3G standard TD-SCDMA and the evolved TD-LTE, and an entire set of evolution systems and solutions from 3G to 4G, will win a more important position in the international mobile communication industry.