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China Mobile—3G: Cash Reserves of 300 Billion Yuan for Meticulous Preparation
 
Writer: Jerry
From: Jongo News
December 28, 2006 17:55 Beijing Time
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China Mobile—3G: Cash Reserves of 300 Billion Yuan for Meticulous Preparation
As for 3G, China Mobile, China Unicom, China Telecom and China Netcom each has its different considerations. However, they are all busy getting prepared for the arrival of 3G.
Seen from any aspects, China Mobile has done the deepest research on 3G and a more thorough understanding of 3G technology and its related business than other three operators. China Mobile has worked out a clear strategic objective with a complete set of sound programs for implementation in order to ensure its market share in the future and achieve higher profitability.
 
China Mobile has the largest user groups and it will do its utmost to maintain a stable development in the market and also its existing market share. Authoritative experts believe that China Mobile mainly focus on the following measures to expand and supplement network, improve network quality and security, optimize network structure, launch value-added business and increase revenue; as for user development, maintain high-value stocking users and enhance the value of stocking users in eastern areas, and develop new users in western areas; with regard to business development, continue to maintain its leading advantage in business renovation, further develop new business and strengthen the brand integration.
 
Data shows that China Mobile has prepared most adequately in WCDMA up to now. It has been focusing on research into system testing and compatible testing between business and terminal operations, as well as the coordination between 3G terminal and the existing business platform. In the transition from 2G to 3G, China Mobile has got fully prepared in its technology reserves. Recent sources said that China Mobile will eventually receive the TD-SCDMA license and there are indications that China Mobile has launched the substantive work before network construction.
 
China Mobile is the current leader in China’s mobile market, occupying a market share of 67%. Compared with China Unicom, China Mobile possesses a competitive strength in user, business and brand.
 
China Mobile has 290 million users, twice that of China Unicom, and it is more competitive in APRU, MOU and the quality of users. Its new business promotion is in the market leading position with new business revenue accounted for 20%, higher than its competitors. In addition, its escalation of core network, customer service and billing system has become an edge tool to attract users and contest the market. Over the past few years of efforts in brand building, China Mobile has possessed distinct brand superiority. Its brands (Shenzhouxing, M-zone and Gotone) are very influential, creating a certain brand loyalty in its clients. What China Mobile needs to do is to maintain this brand superiority until the arrival of 3G age.
 
In the future, no matter what kind of actions and strategies China Mobile will take, it can be inferred that China Mobile will continually strengthen its control and dominance.
 
 
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