?Broadband China? leads to reshuffle in broadband access market
BEIJING, Aug 20, 2013 (Xinhua via COMTEX) --
The ?Broadband China? strategy, which
was recently elevated by China?s cabinet as a national strategy,
would bring a reshuffle to the broadband access market, the
Xinhua-run Economic Information Daily reported on Wednesday.
According to the strategy, China targeted to expand the coverage
of 20M broadband access in urban areas to 80 percent by the end of
But Statistics from Qihoo 360 (QIHU.NYSE) showed that the actual
bandwidth for Chinese netizens averaged at 3.14M in the first quarter
this year. Meanwhile, only two cities in China, namely Xiang Fan and
Ordos, had Internet download speed average at about 20M, according to
the Internet download service provider Xunlei.
Thus, China?s three telecom operators, China Mobile (CHL.NYSE;
00941.HK), China Unicom (CHU.NYSE; 00762.HK; 600050.SH) and China
Telecom (CHA.NYSE; 00728.HK), had respectively established broadband
acceleration projects, especially in major cities, so as to achieve
the target of 80 percent coverage of 20M broadband access in urban
areas by year-end.
At a recent working conference of Ministry of Industry and
Information Technology, China Mobile?s president Li Yue said the
company planned to add 1 million Internet broadband access users this
year, as well as 2.7 million new broadband access ports and 2 million
families within fiber-to-the-home (FTTH) coverage.
Meanwhile, Wang Xiaochu, board chairman of China Telecom, said
that the company would add 15 million fixed broadband access users
and 25 million FTTH families, expand the coverage of above-4M
broadband access to 75 percent customers, and provide 8M, 20M and
even larger bandwidth for customers as required.
Besides, China Unicom?s board chairman Chang Xiaobing said that
the company planned to add more than 10 million FTTH families and 9
million fixed broadband access users, achieve breakthrough in
expanding customer coverage of 10M and 20M broadband access, and
promote the capability of providing above 100M broadband access for
family customers and above 1G broadband access for enterprises.
An industry insider told the newspaper that any broadband access
provider failing to speed up their broadband to 20M by year-end would
be driven out of the market next year.
China?s broadband access market is currently shared by the three
telecom operators and a good number of customer premises network
operators. (Edited by Li Xiaoyu, Lixy@xinhua.org)
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