China’s CBN, State Grid to Issue 5G Cooperation Plan as Soon as Year’s End
LIAO SHUMIN
(Yicai Global) Dec. 19 — China Broadcasting Network and State Grid Corporation of China have essentially sealed their fifth-generation wireless network communication technology partnership, which is now proceeding in an orderly manner and with a specific plan for their collaboration to come out as soon as this year’s end, Shanghai Securities News reported.
Formed in 2014 with a registered capital of CNY4.5 billion (USD642.4 million), Beijing-based CBN operates a nationwide cable TV network business in China.
The company obtained a fifth-generation wireless license in June, becoming the fourth-largest operator in the telecom industry, while it starts the 5G business from scratch, per the report yesterday by Shanghai Securities News. Early birds China Mobile, China Telecommunications and China United Network Communications Group have all released their commercial 5G packages since Nov. 1. Among them, China Unicom and China Telecom will jointly build and share 5G networks.
China will open more than 130,000 5G base stations by the end of this year, according to Ministry of Industry and Information Technology data. Next year will be a large-scale construction period for 5G base stations, which will gradually deploy in every Chinese city.
State Grid, which is the world’s largest utility and was the globe’s second-biggest company by revenue as of last year, and CBN both have their strengths in that CBN has a license and content while State Grid is flush with cash and has a concept for its positioning within the sector. CBN’s 5g service will not be limited to high-definition video, but will generate greater value via smart grid, Industrial Internet analyst Wu Chunyong told the Shanghai Securities News.
Beijing-based State Grid’s operating income was CNY2.56 trillion (USD365.5 billion) last year. Its total assets were CNY39.3 trillion (USD5.6 trillion) and total profits were CNY78.01 billion (USD11.1 billion), public data show. These numbers demonstrate the state-run colossus has the wherewithal to promote 5G quick deployment.
Editor: Ben Armour
