China pulls ahead of 5G race following inter-network roaming trial launch
Wider 5G adoption, cloud integration present growth opportunities for local operators.
China is on track to reach 2.9 million 5G base stations by the end of the year after launching the world’s first-ever 5G inter-network roaming service trial in May, according to a research by Omdia.
Omdia said the country is on track to add more than 600,000 5G base stations this year to its existing 2.3 million stations, which is already the largest 5G network globally.
The expansion is spurred by the recently launched inter-network roaming trial that allows sharing of 5G networks among the four biggest mobile operators – China Mobile, China Telecom, China Unicom, and China Broadnet – to enable phone users to continue using 5G services even outside the range of their original operator’s network.
The move will boost 5G coverage nationwide especially in rural areas, and propel 5G to surpass 4G as the largest technology in China’s mobile market by 2026 according to the research firm.
By 2028, it said about 65% of the country’s overall mobile subscriptions is expected to be on 5G.
All four network providers have already reported higher mobile service revenue and reported mobile ARPU last year following the wider 5G adoption.
“Omdia recommends that Chinese service providers innovate more applications through the integration of cloud and the 5G network. This will be vital to enable the digital transformation of various industries and the acquisition of new revenue streams,” said Ramona Zhao, research manager at Omdia.