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China to Lead Global 5G Rollout after Building 670k Base Stations Ahead of 2020 Target

China to Lead Global 5G Rollout after Building 670k Base Stations Ahead of 2020 Target
folder_openAsia-Pacific... access_timeone month ago
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By Staff, Agencies

5G construction pace in China has picked up speed, allowing it to reach its annual target earlier than expected, Wen Ku, head of information and telecommunications development at the Ministry of Industry and Information Technology, said.

"China wants on build 5G networks at a pace that is moderately ahead of schedule, as the country is entering a lead-in period in 5G construction in the coming three years," he explained as quoted by China Daily.

The comments come roughly a year after Beijing launched its 5G rollout and commercialization plans, leading to significant developments in the country's telecommunications industry.

The efforts have allowed China to reach its position as a global leader in 5G, accounting for 70% of all 5G networks globally in 2020, the Global System for Mobile Communications Association [GSMA] wrote in a report.

According to the document, several 5G smartphone launches from local companies, along with Chinese consumers, has boosted the nation's 5G demand. 5G adoption is also expected to grow to roughly 50 percent by 2025, it added.

"To support this generational shift and drive consumer engagement, Chinese operators are expected to invest more than $180 billion between 2020 and 2025 in mobile capex, roughly 90% of which will be on 5G networks," it added.

The news comes after a report found that the global 5G industry had slowed due to ongoing political wrangling over telecom approvals and auctions, stating they were a "bigger concern" than setbacks due to COVID-19.

Following London's ban of Huawei 5G kit from UK networks up to 2027, numerous reports have also estimated losses to the British economy of up to £40bn and nearly £173bn in gross domestic product growth.

Countries such as the UK, Sweden, Australia, New Zealand, Japan and others have banned Huawei and ZTE equipment from their networks, leading to sharp criticisms from Beijing and company execs as well as major job cuts in the US and Australia.

The ongoing trade war between the United States and China saw Huawei, ZTE and dozens of Chinese firms blacklisted by the US Department of Commerce, who cited alleged security risks, souring ties between Washington and Beijing to historic lows.