On the whole, China Mobile, which has been constrained by terminals and networks in the 3G era, has been in the dark for the past two years. It is ushering in a new living environment and competitive landscape, which is highlighted in three aspects: TD-LTE, terminals and traffic. The mystery of all is yet to be announced.
It is worth noting that TD-LTE, which is not yet profitable, can light the future, but it will definitely not be the only life-saving straw for China Mobile. In the global popular LTE, China's current TD-LTE market share is not large, but its growth rate is not slow.
In China, with China Mobile's efforts to build the sixth phase of TD, deep coverage and continuous coverage enhance user network experience, which accelerates the conversion of China Mobile's 2G stock users to 3G. China Mobile maintained a monthly user growth of nearly 10 million in the first half of this year. The sales of more than 10 million TD mobile phones indicate that users' demand for mobile Internet is increasing.
Another notable phenomenon is that for the 3G network that has spent a lot of effort on China Mobile, the terminal was defeated at the time, and now it is also the terminal. In terms of terminals, China Mobile has gained a lot by establishing a professional terminal company. Whether it is from the number of terminal products, quality, or multi-channel sales system, it is worthy of recognition.
As of the first half of the year, China Mobile's G3 phones in stock reached 735. In 2013, 198 new mobile phones were added to the database, of which 191 were smartphones, accounting for 96%. The massive popularization of smart terminals will promote the growth of China Mobile ’s traffic. Therefore, while developing 3G networks, China Mobile must accelerate the construction of TD-LTE Network deployment to meet the explosive growth of user traffic with more advanced TDD technology.
Second, China Mobile is increasing user stickiness in many ways. Facing the era of mobile Internet, China Mobile has put forward the development strategy of “intelligent pipeline, open platform, distinctive business and friendly interfaceâ€. At the 2013 (12th) Internet Conference, China Mobile ’s booth released “open, cooperative, The concept of "competition and development", besides the traditional display of wireless cities and MM, a number of applications such as Lingxi, Caiyun, and driving guards were newly unveiled. In recent years, China Mobile's mobile wallet business has taken the lead in developing, which has forced related telecom operators to follow up to create a similar NFC APP Store.
Under the aura that WeChat can't add, China Mobile is building a competitive mobile Internet platform through its own channels and capabilities. This will effectively enhance the value of telecom operators' numbers and build an open ecosystem.
As for the development of existing users, China Mobile has adopted an aggressive strategy, which is conducive to cultivating the habit of more than 700 million customers using mobile Internet, which has laid a foundation for the smooth development of TD-LTE users.
In the first half of this year, China Mobile released the TD-LTE "Double Hundred" plan, with a network covering 100 cities and over 1 million terminals purchased. The investment related to TD-LTE will exceed 40 billion yuan, which has greatly encouraged related industry chain equipment companies. From Miao Wei, Minister of the Ministry of Industry and Information Technology during the two sessions, to the recent State Council meeting finalizing the 4G licensing time within the year, these are undoubtedly great for China Mobile.
Compared with China Unicom and Telecom, which first "eat" the iPhone, China Mobile has at least taken the lead in 4G. It is understood that at present, China Mobile's bidding for TD-LTE network equipment is in progress, and the bidding results will be announced as soon as September.
In contrast, friends and business, China Telecom, which is rumored to vigorously develop 4G networks, suspended the development of LTE FDD, making the industry guess that China Telecom is indecisive in its 4G development strategy, and the WeChat Volka launched by China Unicom actually caters to the trend of traffic management in the mobile Internet era. The operators of the United States, Japan and South Korea have already or will soon realize the conversion of the revenue structure of voice and traffic. All this is a development opportunity for China Mobile, which is moving forward steadily.
However, the problem that telecom operators cannot avoid is that the OTT services such as WeChat are in full swing, which has formed a certain substitution effect on traditional voice and short message services. However, we must also see that these services have brought huge traffic to operators income.
In 2012, China Mobile's traffic increased by 187.6% over the previous year, and China Mobile identified traffic management as its main business direction this year. China Unicom's first half results showed that its mobile phone user data traffic increased by 131.3% year-on-year. As China Mobile, which has the largest customer base in the country, its traffic growth in the first half of the year is what the industry expects.
It is foreseeable that while traffic is increasing, TD-LTE will become the main weapon of China Mobile's future wireless data era. Therefore, China Mobile's remarks on the development strategy of TD-LTE in this performance announcement will be very worth looking forward to.
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