China’s telecommunication equipment market will keep growing

Date: 2015-08-22

Trends to watch

Still bullish on China’s telecom equipment market. Benefiting from the national broadband strategy and 4G construction, in 2H15 China’s telecommunication equipment market will keep growing. This will effectively offset the company’s losses in overseas markets due to falling demand.

Speed upgrade in broadband and fixed-line networks to benefit in coming 3 years. The 2017 targets for broadband & fixed-line network construction are 100Mbps fiber-optic internet for urban households, >30Mbps average internet connection speed for broadband in capitals and special cities, >80% fiber-optic internet coverage of villages, and full universal 4G coverage. This suggests telecom service providers will offer mobile services through fixed-line networks and unauthorized bands, and will help fixed-line network operators expand into the mobile market. New technologies (like LTE-U) are also fueling changes in mobile internet construction. Accelink will be a main beneficiary.

Cloud networks new optical communication equipment growth driver. We foresee 1,000% expansion in the market for cloud network data center interconnection in the next five years. Internet content and cloud service providers will build their own data centers and establish their own cloud networks, which means huge capex.


Contact With Us
Join templatemonster at google+
Customized Research
Request Sample