The industry has speculated for a long time that the co construction and sharing cooperation between China Mobile and China Radio and television 5g has finally ushered in an official announcement. On this day when lovers tell each other of their love, China Mobile “joined hands” with China Radio and television and signed a 5g co construction and sharing cooperation framework agreement. On the basis of maintaining their respective brands and independent operation, the two sides will jointly explore model innovation in products and operation, deepen cooperation in content, platform and other aspects, and cooperate in operation in channels, customer service and other aspects.
This “luxury” 5g marriage has not only attracted extensive attention, but also received blessings from both inside and outside the industry. After all, under the general trend of co construction and sharing, the cooperation between China Mobile and China Radio and television will undoubtedly accelerate the pace of 5g construction and boost the rapid development of “new infrastructure”.
The value behind “paid”
How will China Radio and television holding 700MHz “golden band” develop 5g? There have been different opinions on this issue in the industry. The Ministry of industry and information technology issued a document approving China Radio and television to use 700MHz frequency band, allowing it to use 703 ~ 733 / 758 ~ 788mhz frequency band, deploy 5g network nationwide in batches, and China Radio and television holding 700MHz frequency band got 5g commercial spectrum tickets. At the same time, China Radio and television is still implementing the implementation plan for the integrated development of national cable TV network jointly issued by the Propaganda Department of the CPC Central Committee and other nine ministries and commissions, so as to accelerate the integrated development of national cable TV network integration and radio and television 5g construction. It can be said that compared with the three major operators, China Radio and television does not have the strength to develop 5g alone in terms of financial resources, manpower and experience.
Within the 5g co construction and sharing cooperation framework agreement announced by China Mobile, the two sides jointly determined the network construction plan, jointly invested in the construction of 700MHz 5g wireless network at the ratio of 1:1, and jointly owned and had the right to use 700MHz 5g wireless network assets. So far, the ownership and use right of 700MHz band, which is highly concerned by people inside and outside the industry, has finally been settled. The agreement also disclosed that in order to obtain this half of the ownership, China Mobile will provide China Radio and television with a paid transmission bearer network from the 5g base station in 700MHz band to the contact of China Radio and television in the prefecture, city or provincial center, and open and share the 5g network in 2.6GHz band with a paid fee; China Mobile will undertake the operation and maintenance of 700MHz wireless network, and China Radio and television will pay the network operation and maintenance fee to China Mobile; Before the 700MHz band 5g network meets the commercial conditions, China Radio and television will share the 2G / 4G / 5G network of China Mobile for payment to provide services for its customers; China Mobile will provide paid international business transfer services for China Radio and television.
The reporter noted that in this agreement, the word “paid” is very eye-catching. China Radio and television not only needs to invest in 5g network construction funds, but also needs to bear various network use fees and network operation and maintenance fees, which seems to make China Radio and television “worse”. However, internationally, paid sharing network has become a practice, which is equivalent to China Radio and television renting some network resources of China Mobile, which is also the routine operation of new entrants to the market. Jin Feng, an expert in the communication industry, believes that it is understandable to charge reasonable fees for “paid”. 1: 1. The investment proportion can not be understood only from the aspect of capital investment, but should be regarded as a “resource value investment”, that is, if China Radio and television uses resources such as China Mobile’s base station, it needs to be evaluated. “This cooperation obviously makes more profits for China Radio and television. Through co construction and sharing, China Mobile realizes the improvement from 1 to 2. Even without co construction and sharing with China Radio and television, China Mobile can still develop 5g. However, China Radio and television has achieved a breakthrough from 0 to 1 by virtue of this cooperation. If it does not cooperate with China Mobile, it may be difficult for China Radio and television to carry out 5g business.” Jin Feng said.
Wu Chunyong, TMT industry observer and executive editor in chief of fusion network, believes that for China Radio and television, the cooperation with China Mobile is only a part of its 5g industrial layout. He judged that China Radio and television will certainly carry out relevant cooperation with other industrial giants in the future, and cooperate with these giants to continue to develop 5g business, so as to accumulate more sufficient funds.
Who will be the biggest winner if the two sides cooperate?
In any case, when “money out of stock” and “money out of stock” meet, they complement each other and achieve cooperation. Of course, the outcome is a win-win situation. The cooperation between China Mobile and China Radio and television will play a positive role in promoting their respective industrial development planning, layout, investment, business development and other aspects in the future.
700MHz is suitable for large-area network coverage and low networking cost due to its low propagation loss, wide coverage and strong penetration. In this cooperation with China Radio and television, China Mobile, which shares 700MHz, can build a 5g network covering the whole country at a relatively lower cost in a short time. Compared with the network built by China Telecom and China Unicom in the 3.5GHz medium and high frequency band, China Mobile can achieve a wider 5g network coverage with less investment and fewer base stations.
Yang Guang, senior analyst in SA wireless communication field, believes that China Mobile has obtained the valuable right to use 700MHz spectrum, which is not only conducive to the rapid deployment of its 5g network, but also helps to improve the experience of mobile users, especially users in remote areas and indoor scenes in urban areas. Jin Feng also said: “this will greatly reduce the network construction cost of China Mobile. At the same time, it can achieve balanced network coverage in scenes with high difficulty in base station construction such as rural areas. It is worth mentioning that, as the main frequency band for 5g deployment in Europe in the future, 700MHz will also help China Mobile provide users with better global connection services.”
For China Radio and television, this cooperation has enabled it to gain the blessing of heavyweight partners, launch commercial business and lay a solid foundation for the follow-up 5g development. Chen Zhigang, a communication expert, believes that China Radio and television has almost zero threshold and zero cycle mobile communication service capacity covering the whole country. With the help of the “bride price” (open 2G, 3G and 4G) network that China Mobile has taken out all its assets, it immediately has a complete mobile service capability. “Not only has the problem of market attractiveness of 700MHz industrial chain been solved, but also the construction and cultivation cycle of 5g network construction, operation and maintenance, operation talent system has been greatly shortened,” Chen Zhigang said.
Generally speaking, China Mobile can rapidly improve the content level of 5g industry with the help of China Radio and television’s advantages in content management, aggregation and production. China Radio and television can also quickly enter the mobile communication and 5g industry with the help of China Mobile’s channels, customers and other resources. In addition, China Radio and television can also rely on the advantages of China Mobile in capital and market-oriented operation to quickly complete the industrial layout of relevant cable industries.
However, China’s Radio and television, which “married into a rich family”, should not be slack at all. Yang Guang believes that China Radio and television should complete the integration of “national one network” as soon as possible, which is not only the integration of basic network, but also the integration of personnel, strategy, channels and service system. In Yang Guang’s view, only by completing the national integration can we meet the needs of the whole network of telecom services.
Combination of “radio and television + Mobile”
Or will it be more competitive
After China Telecom and China Unicom got together for warmth, the cooperation between China Mobile and China Radio and television has made the current pattern of the communication industry “two parts of the world”. So, who will have the advantage of these two combinations? Jin Feng believes that at present, the combination of “radio and television + Mobile” has more advantages. The reason is very simple. The combination of “Unicom + Telecom” is still operating the stock telecom market, while the combination of “radio and television + Mobile” has added to the radio and television market, creating an increment, so there is more room for imagination.
Yang Guang believes that after China Mobile shares the 700MHz frequency band, its leading advantage over China Telecom and China Unicom may be more obvious, which may be a challenge to the relatively balanced market pattern. Although “two parts of the world” is conducive to operators’ rapid investment and deployment of 5g, it should be noted that the co construction and sharing of the network should not affect the competition and innovation at the market level. Moreover, after the two basic networks are formed, with the expansion of network scale, the response speed of basic network operators cannot decrease with the increase of network scale, otherwise it will not be conducive for operators to use 5g to develop enterprises and vertical industry markets.
“In the next 11 years, 700MHz frequency band will be jointly owned by China Mobile and China Radio and television, which is certainly bad news for other telecom operators,” Wu Chunyong said. He added: “From the perspective of 5g base station and network construction, other telecom operators can only find another way or invest a lot of money to establish corresponding 5g base stations. However, from the existing agreement content, the cooperation between the two sides at the content level seems not exclusive, which is good news for other telecom operators. After all, with the increasing maturity of 5g industry, the majority of users and market trend There must be a huge demand for content. At that time, China Radio and television can give full play to its advantages in content production, management and operation for other telecom operators and relevant partners. “
“The integration of three networks, which has been promoted for many years, will be completely in place, not because operators and radio and television have penetrated into each other in business, but because China Radio and television has finally become a member of operators,” Jin Feng concluded.
What kind of wonderful “big play” will this combination perform in the future? We’ll see.
Editor in charge: Tzh