ICT

MIIT officer: China¡¯s optical communication market will remain prosperous in the next 1-2 years

Updated:2015/12/4 14:26

After a short hard-time in 1H2013, China’s optical communication industry has recovered to high-speed development, it is further benefited by multiple policy supports in 2015, including Broadband China strategy, 4G full-scale construction, optical network upgrade and others, China’s optical communication industry has stepped into a high prosperity stage.

The deputy director of MIIT Scientific and Technological Commission Wei Leping pointed out in an optical communication forum that held recently, China's broadband market is the largest driving source for the development of optical communication industry. Optical fiber access and mobile access have both made great progress, and the next 1-2 years will still be the best time for the development of China’s optical communication market (including system equipment, optical components and optical fiber cable).

Core bearer of the Internet

China has put forward the "Internet +" action plan and it has been rose to national strategy level, "Internet +" will become the engine for China's national economy innovation in the next decade. Although every industry is trying to combine with the "Internet +" action plan, but without the broadband network, "Internet +" will become water without a source and a tree without roots.

Wei Leping noted that the operators expect to open up new areas and realize value upgrading, at present, the existing broadband network has already formed the basis to support "Internet +" action plan. With the gradual maturity of cloud computing and big data, they will create powerful yet low-cost network, IT resources and data value mining tools for the "Internet +" plan.

According to the data that provided by Wei Leping, by the end of October 2015, broadband subscribers of China Telecom have reached 130 million, of which the FTTH/O users reaches 71.57 million and accounts for 30% of the total FTTH/O users in the global. He made a prediction of China Telecom’s development in broadband market in the next five years, over 70% of the urban areas in Southern China are expected to achieve full optical network coverage by 2016, at which time the city will basically realize full optical network coverage; push the large-scale promotion of megabytes (50M/100M) network access rate in rural regions and make 90% of the administrative villages get access to the broadband network. By 2020, all the cities in Southern China will achieve full optical network coverage, over 98% of the administrative villages will get access to the broadband network and promote large-scale development of 4K HD TV users.

Judging from the national perspective, FTTH/O ports of optical network access have reached 240 million by September 2015, accounting for 51.7% of the total number; FTTH/O users have reached 102 million, accounting for 48.3%; users with above 20Mb/s access rate have reached 25.3% of the total users; the optical cable have reached 2,355 km and the growth rate is more than 20.6%.

It is reported that China Telecom has built all-optical networks in Sichuan and Henan provinces, China Unicom will also complete the construction of all-optical networks in Henan and Shandong by the end of this year. With the push of optical network upgrading, the optical fiber and cable industry has get rid of the over-capacity and fierce price competition situations in the past years, a tight supply with prices steadily rising situation has formed. At the same time, the optical components have almost kept the same high growth speed.

 Source:c114
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