Page 36 - Market Analysis Report of Optical Communications Field in China & Global market 2022

C H I N A
network speed is the fastest in the world, reaching over 400 795000 compared to the end of last year, accounting for 20.7%
Mbps. of the total number of mobile base stations, and an increase of
The number of 5G users in South Korea has developed rapidly. 6.4 percentage points compared to the end of last year. At the
By the end of November 2021, this number had risen to 20.19 same time, the total number of 5G package users of China's
million, second only to China in the world, accounting for about three major operators has exceeded 1 billion; The number of 5G
28% of the total number of mobile users. In terms of operators, mobile phone users reached 510 million, a net increase of 155
SK Telecom has 9.52 million 5G users, followed by 6.16 million compared to the end of the previous year, accounting for
million for KT and 4.46 million for LG Uplus. With the rapid 30.3% of mobile phone users.
development of 5G, the number of 4G users began to decline. China has always adhered to the principle of being moderately
By the end of November 2021, the number of 4G mobile users advanced and steadily and orderly carrying out 5G network
in South Korea had dropped to 48.55 million, accounting for construction. The annual investment budgets of China Mobile
67% of the total number of mobile users. and China Telecom in 2022 are respectively 185.2 billion and
In 2022, the three major operators SK Telecom, KT, and 93 billion, of which 5G related investment is about 110 billion
LG U+plan to invest a total of 25.7 trillion won to continue and 34 billion. It is estimated that the number of new 5G base
deploying 5G basic networks, focusing on network coverage stations will be 370000 and 170000 in 2022, respectively. China
in Seoul and other surrounding cities. The Korean government Unicom has not announced its capital expenditure for 2022.
hopes to build 45000 5G base stations by 2023 through a series Given the joint construction and sharing with China Telecom, it
of tax incentives, and increase the national 5G coverage rate to is expected that the 5G investment trend will be similar.
70% by 2025. In addition, on November 4, 2022, the Ministry of Industry
In order to promote ecological maturity, South Korea released and Information Technology of the People's Republic of China
the "5G+Strategy for Achieving Innovative Growth" in 2019, approved China Unicom to re cultivate the 900 MHz frequency
systematically promoting 5G+integrated services in the form band resources currently used in the 2G/3G/4G system for the
of a national strategy, and has achieved certain results. On the 5G system, in order to further improve the coverage quality of
one hand, 5G integrated applications have been implemented 5G signals in rural and remote areas, and increase the support
in small areas such as industrial Internet, medical health, and guarantee of radio spectrum resources for the high-quality
intelligent transportation, and autonomous driving; On the other development of 5G.
hand, demonstration projects of public-private partnerships The 5G dividend is gradually being released. One is the
have begun to be promoted towards the commercialization dividend of network construction. The investment in the
of private enterprises. By the end of 2020, there were nearly construction of 5G base stations and the production of
200 5G application sites in South Korea and nearly 100 smart terminals have driven the development of chip and
companies engaged in 5G+integration service development. electronic communication product manufacturing industries
In terms of intelligent factories, six manufacturing factories in the upstream of the 5G industrial chain, as well as the
have developed and verified 5G applications such as machine consumption of mobile phones and applications in the middle
vision and logistics and transportation robots; In the field of and downstream of the 5G industrial chain. The second is the
smart medicine, the 5G network and emergency cloud platform dividend of 5G industry applications. 5G+industry applications
established and operated in Seoul ensure the transmission are currently the mainstream direction of 5G applications. Over
of multidimensional AI datasets; In the field of autonomous the past three years, through the accumulation of more than
driving, an internationally recognized vehicle communication 20000 5G industry application demonstration scenarios and
(V2X) testing environment has been established, and vehicle cases, demonstration enterprises and users in various industries
terminals and devices using 5G and V2X have been developed, have fully enjoyed the new experience and value brought by
as well as remote driving cockpit and cloud based remote 5G applications. The third is the dividend of business growth.
driving software control platform; In the field of smart cities, Although the construction of the 5G network of operators
Qingnan and Guangzhou have developed and demonstrated is still in the initial stage, and the 5G business is still in the
various applications using 5G, artificial intelligence, the Internet embryonic stage, the potential value of the 5G network for
of Things, and 3D modeling, such as fire/smoke diffusion the business development of telecommunications operators in
prediction services, real-time security management monitoring the next three to five years is accelerating. Operators have the
services, and so on. resources, network, and platform service capabilities to grasp
the great opportunities for the development of digital economy
China has built the world's largest 5G network, and the such as the industrial Internet, artificial intelligence, and the
large-scale application of 5G will accelerate metauniverse.
In 2022, China's 5G has been commercially available for three Currently, China's 5G network construction is still in the stage
years. According to data released recently by the Ministry of of large-scale construction. Although the world's largest network
Industry and Information Technology of the People's Republic has been built, the breadth and depth of coverage still need to
of China, as of the end of September, the total number of 5G be further improved. According to the plans of operators, 5G
base stations in China reached 2.22 million, a net increase of investment will begin to decline from 2023, which may have

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