Taipei, Friday, August 1, 2014 10:37 (GMT+8)
mostly cloudy
Taipei
33°C
Digitimes Research: China pushing fixed-line broadband network development
Benson Wu, DIGITIMES Research, Taipei [Friday 3 January 2014]

According to the statistics from China's Ministry of Industry and Information Technology (MIIT), the number of fixed-line subscribers in China reached 185 million as of the third quarter of 2013, up only by 9% compared to the same quarter a year ago.

Neither did the country's Optical Network City project achieve its goal, with the penetration rate of FTTH/O reaching only 18%. Although China has the most FTTH/O subscribers in the world, the number of subscribers increased by only 13 million during the first three quarter of 2013 - a number which is only 10% of the increase in 3G service subscribers during the same period.

The development of fixed-line broadband networks has been slow mainly because of a number of reasons, Digitimes Research believes.

First, there is a lack of competition, which gives service providers few incentives to improve their service quality, and in turn deters subscribers from upgrading their connectivity.

Uneven development in urban and rural areas sees fixed-line broadband service providers showing reluctance in investing in less populated regions outside the more urbanized parts in eastern China.

The coming of the 4G mobile era, which sees the country's three major telecom service providers put more of their investments in construction of mobile networks, which can generate faster and better returns. This has prevented investment in fixed-line networks.

But the China government is now taking steps to improve the country's fixed-line broadband service development. In December 2013, the MIIT lifted a ban on China Mobile from running fixed-line network business, a move it hopes will heat up competition in the fixed-line network sector.

Earlier in August 2013, China's State Council announced its broadband network operation and development goals and in October 2013, the State Council introduced a new program aiming at reforming the China's telecom industry and creating a fair competition environment.

Content from this blog post was provided by the Digitimes Research Tracking team, which focuses on shipment data and market trends in the global mobile device supply chain. Digitimes Research provides quarterly tracking services for market sectors such as Global Tablet, China Smartphone, China Smartphone AP, China Touch Panel, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.

Realtime news
  • Taiwan IC suppliers to benefit as Samsung steps up purchases of IC parts

    Bits + chips | 12h 29min ago

  • MediaTek hikes 4G smartphone solution shipment target for 2014

    Bits + chips | 12h 30min ago

  • Digitimes Research: Promotion of HEMS appliances in Japan faces problems

    Green energy | Jul 31, 20:14

  • Young Optics nets NT$54 million for 1H14

    Before Going to Press | Jul 31, 20:56

  • China market: Gome to start price-cuts to promote LCD TVs in August, says report

    Before Going to Press | Jul 31, 20:52

  • Teco to exhibit cloud-based smart home appliances at TAIROS

    Before Going to Press | Jul 31, 20:37

  • Samsung reports decreased handset and tablet shipments for 2Q14

    Before Going to Press | Jul 31, 20:35

  • PCB/LCD equipment supplier Asia Neo Tech to debut on OTC market

    Before Going to Press | Jul 31, 20:10

  • Nearly 50 firms stepping into 3D printing, says ITRI

    Before Going to Press | Jul 31, 19:59

  • Radiant Opto-Electronics nets NT$3.07 per share for 1H14

    Before Going to Press | Jul 31, 19:57

  • Taiwan market: WD launches NAS HDDs

    Before Going to Press | Jul 31, 19:57

  • Russia market: Smartphone competition heating up

    Before Going to Press | Jul 31, 19:56

  • Taiwan panel makers plan to cooperate with China TV vendors to tap international market

    Before Going to Press | Jul 31, 19:56

  • UMC to ramp 28nm wafer capacity

    Before Going to Press | Jul 31, 19:55

  • Wintek becomes major touch panel supplier for Xiaomi

    Before Going to Press | Jul 31, 19:54

  • HTC swings to profitability in 2Q14

    Before Going to Press | Jul 31, 19:53

Pause
 | 
View more

Analysis of China's revised domestic semiconductor industry goals

RESEARCH EXTRAS | Jul 16, 18:09

Facing a funding shortage for local IC manufacturers, the China State Council in June 2014 published guidelines to strengthen government support for China's semiconductor industry, while stating the short-, mid-, and long-term goals for the related industry supply...

The transition to 4k TV - UHD TV market forecast, 2014-2017

RESEARCH EXTRAS | Jun 26, 13:59

Ultra HD TV vendors are facing challenges due to an overall slowdown in the TV industry and are concerned whether relative supply chains can provide compatible Ultra HD content and services. However, trends show that content makers as well as panel and chip makers...

China smartphone AP shipments – 2Q 2014

CHINA SMARTPHONE AP | Jul 31, 18:17

The LTE market does not perform as expected in the China market while the TD-SCDMA market declines. Smartphone APs experience quarterly growth of 13.2% in China In the second quarter of 2014, with MediaTek's 3G products achieving nearly a 50% market share. In...

Taiwan handsets – 2Q 2014

TAIWAN ICT | Jul 30, 09:17

HTC's launch of its new smartphone models shot up both its own shipments and the overall shipments from Taiwan's handset sector in the second quarter. Although own-brand shipments were strong, ODM shipments were sluggish.

Taiwan digital cameras – 2Q 2014

TAIWAN ICT | Jul 30, 09:15

Taiwan makers saw a rare rise in their DSC shipments in the second quarter of 2014, thanks to strong orders from clients who were launching new models for the spring season. While their shipments stand little chance of returning to levels seen in the pre-smartphone...

Media news email alerts
Greater China touch panel shipment forecast through 2015
  • 2014 global high brightness LED market, trends and shipment forecast

    For the global LED lighting market, the market size will reach US$25.82 billion in 2014 or a market penetration rate of 23.4%. This is attributable to exponential shipment growth for light bulbs, tubes, and directional lamps.

  • Greater China touch panel shipment forecast through 2015

    This Special Report provides forecasts through 2015 for Greater China touch panel shipments with breakdowns based on technology (glass, film, resistive), application (smartphone, NB and tablet) and by firm.

  • 2014 global tablet demand forecast

    This report analyzes the main players, their strategies and shipments forecasts for 2014, as well as other factors contributing to either growth or decline in various segments within the tablet market, with a particular focus on Apple, Google, Samsung, and Microsoft, along with whitebox vendors.