Cell phone industry in China
Encyclopedia
Mobile phone
A mobile phone is a device which can make and receive telephone calls over a radio link whilst moving around a wide geographic area. It does so by connecting to a cellular network provided by a mobile network operator...
s were made in China
Made in China
Made in China or Made in PRC is a country of origin label affixed to products manufactured in the mainland China, the People's Republic of China , excluding Hong Kong and Macau where all products made in those regions are labeled as "Made in Hong Kong" and "Made in Macau", respectively...
which accounted for over 50% of the global production.
History
- In 1995, wireless telephone communication in the modern sense started by the Ministry of Posts and Telecommunications of China, using GSM technology. A nation-wide network was completed in the following year.
- In 2000, the fixed telephone company (China TelecomChina TelecomChina Telecom Corp. Ltd. is a Chinese state-owned telecommunication company. It is the largest fixed line service and 3rd largest mobile telecommunication provider in the People's Republic of China.-Sectors:...
) and two cell phone telephone companies (China MobileChina MobileChina Mobile Limited is a Chinese state-owned telecommunication company that provides mobile voice and multimedia services through its nationwide mobile telecommunications network, the largest of its kind in the world...
and China UnicomChina UnicomChina Unicom or China United Netcom Ltd , is a Chinese state-owned telecommunications operator in the People's Republic of China.-History:...
) were spun off from the Ministry of Posts and Telecommunications - In 2002, the fixed telephone company was split into two: China NetcomChina NetcomChina Netcom, full name China Netcom Group Corporation Limited , abbreviated CNC, was a former telecommunication service provider in People's Republic of China...
for North ChinaNorth Chinathumb|250px|Northern [[People's Republic of China]] region.Northern China or North China is a geographical region of China. The heartland of North China is the North China Plain....
and China TelecomChina TelecomChina Telecom Corp. Ltd. is a Chinese state-owned telecommunication company. It is the largest fixed line service and 3rd largest mobile telecommunication provider in the People's Republic of China.-Sectors:...
for South ChinaNorthern and southern ChinaNorthern China and southern China are two approximate regions within China. The exact boundary between these two regions has never been precisely defined... - Until 2008, China's cell phone service was provided by the three companies:
- GSM service from China MobileChina MobileChina Mobile Limited is a Chinese state-owned telecommunication company that provides mobile voice and multimedia services through its nationwide mobile telecommunications network, the largest of its kind in the world...
- GSM and CDMA service (begun in 2002) from China UnicomChina UnicomChina Unicom or China United Netcom Ltd , is a Chinese state-owned telecommunications operator in the People's Republic of China.-History:...
- PHSPersonal Handy-phone SystemThe Personal Handy-phone System , also marketed as the Personal Access System and commercially branded as Xiaolingtong in China, is a mobile network system operating in the 1880–1930 MHz frequency band, used mainly in Japan, China, Taiwan, and some other Asian countries and...
service from the two fixed phone companies: China NetcomChina NetcomChina Netcom, full name China Netcom Group Corporation Limited , abbreviated CNC, was a former telecommunication service provider in People's Republic of China...
and China TelecomChina TelecomChina Telecom Corp. Ltd. is a Chinese state-owned telecommunication company. It is the largest fixed line service and 3rd largest mobile telecommunication provider in the People's Republic of China.-Sectors:...
- GSM service from China Mobile
- In 2008, another reorganization of the telecommunications industry was made a year before the Third generation (3G) service was granted.
Mobile phone service providers
After the 2008 reorganization of China's telecommunication industry, there are now three cell phone service providers.China Mobile
China MobileChina Mobile
China Mobile Limited is a Chinese state-owned telecommunication company that provides mobile voice and multimedia services through its nationwide mobile telecommunications network, the largest of its kind in the world...
continues the old China Mobile's GSM service, absorbed China Railway Communication
China Tietong
China Tietong Telecommunications Corporation is a major state-owned basic telecommunications operator in China...
, and began 3G service using TD-SCDMA
TD-SCDMA
Time Division Synchronous Code Division Multiple Access or UTRA/UMTS-TDD 1.28 Mcps Low Chip Rate , is an air interface found in UMTS mobile telecommunications networks in China as an alternative to W-CDMA. Together with TD-CDMA, it is also known as UMTS-TDD or IMT 2000 Time-Division .The term...
, China's own technology.
China Unicom
China UnicomChina Unicom
China Unicom or China United Netcom Ltd , is a Chinese state-owned telecommunications operator in the People's Republic of China.-History:...
continues the old China Unicom's GSM service, absorbed the old China Netcom
China Netcom
China Netcom, full name China Netcom Group Corporation Limited , abbreviated CNC, was a former telecommunication service provider in People's Republic of China...
's network of fixed telephones in the north of the Yangtze River
Yangtze River
The Yangtze, Yangzi or Cháng Jiāng is the longest river in Asia, and the third-longest in the world. It flows for from the glaciers on the Tibetan Plateau in Qinghai eastward across southwest, central and eastern China before emptying into the East China Sea at Shanghai. It is also one of the...
in China, and started 3G service using W-CDMA
W-CDMA
W-CDMA , UMTS-FDD, UTRA-FDD, or IMT-2000 CDMA Direct Spread is an air interface standard found in 3G mobile telecommunications networks. It is the basis of Japan's NTT DoCoMo's FOMA service and the most-commonly used member of the UMTS family and sometimes used as a synonym for UMTS...
technology.
China Telecom
China TelecomChina Telecom
China Telecom Corp. Ltd. is a Chinese state-owned telecommunication company. It is the largest fixed line service and 3rd largest mobile telecommunication provider in the People's Republic of China.-Sectors:...
continues PHS
Personal Handy-phone System
The Personal Handy-phone System , also marketed as the Personal Access System and commercially branded as Xiaolingtong in China, is a mobile network system operating in the 1880–1930 MHz frequency band, used mainly in Japan, China, Taiwan, and some other Asian countries and...
service of the old China Netcom and China Telecom, continues the old China Telecom's network of fixed telephones in the south of the Yangtze River, and began 3G service using CDMA2000
CDMA2000
CDMA2000 is a family of 3G mobile technology standards, which use CDMA channel access, to send voice, data, and signaling data between mobile phones and cell sites. The set of standards includes: CDMA2000 1X, CDMA2000 EV-DO Rev. 0, CDMA2000 EV-DO Rev. A, and CDMA2000 EV-DO Rev. B...
technology.
Mobile phone industry
Wireless communication is regulated by the Ministry of Industry and Information Technology. The mobile phone industry in China has grown to become a large industry, including research of new technology, manufacturing of cell phones and building of telephone networks, participated by not only the domestic companies but also the foreign companies, such as:- Datang Telecom (Research and development of China's 3G3G3G or 3rd generation mobile telecommunications is a generation of standards for mobile phones and mobile telecommunication services fulfilling the International Mobile Telecommunications-2000 specifications by the International Telecommunication Union...
TD-SCDMATD-SCDMATime Division Synchronous Code Division Multiple Access or UTRA/UMTS-TDD 1.28 Mcps Low Chip Rate , is an air interface found in UMTS mobile telecommunications networks in China as an alternative to W-CDMA. Together with TD-CDMA, it is also known as UMTS-TDD or IMT 2000 Time-Division .The term...
technology) - Huawei Technologies
- ZTEZTEZTE Corporation formerly Zhongxing Telecommunication Equipment Corporation is a Chinese multinational telecommunications equipment and systems company headquartered in Shenzhen, China...
- Alcatel-LucentAlcatel-LucentAlcatel-Lucent is a global telecommunications corporation, headquartered in the 7th arrondissement of Paris, France. It provides telecommunications solutions to service providers, enterprises, and governments around the world, enabling these customers to deliver voice, data, and video services...
- EricssonEricssonEricsson , one of Sweden's largest companies, is a provider of telecommunication and data communication systems, and related services, covering a range of technologies, including especially mobile networks...
- Nokia-Siemens Networks
Huawei Technologies is expected to surpass Nokia-Siemens Networks and Alcatel-Lucent to become the second largest manufacturer of telecommunications equipment, after Ericsson, in 2009.
ZTE and China Mobile have done turnkey
Turnkey
A turn-key or a turn-key project is a type of project that is constructed by a developer and sold or turned over to a buyer in a ready-to-use condition.-Common usage:...
mobile phone network projects in Pakistan
Pakistan
Pakistan , officially the Islamic Republic of Pakistan is a sovereign state in South Asia. It has a coastline along the Arabian Sea and the Gulf of Oman in the south and is bordered by Afghanistan and Iran in the west, India in the east and China in the far northeast. In the north, Tajikistan...
, Ethiopia
Ethiopia
Ethiopia , officially known as the Federal Democratic Republic of Ethiopia, is a country located in the Horn of Africa. It is the second-most populous nation in Africa, with over 82 million inhabitants, and the tenth-largest by area, occupying 1,100,000 km2...
, etc.
Mobile phone manufacturers
- BBK ElectronicsBBK ElectronicsBBK Electronics Corporation, Inc. is a Chinese company specialized on electronics such as television sets, mp3 players, digital cameras and cell phones....
- DopodDopodDopod is a Taiwan-based manufacturer of Windows Mobile smartphones, operating in the South East Asia and Australasia. Dopod International was founded in 2004 and it is now directly owned by the Taiwanese Windows Mobile device manufacturer HTC with over 50% of shares...
- HaierHaierHaier Group is a multinational consumer electronics and home appliances company headquartered in Qingdao, Shandong, People's Republic of China. Its products include air conditioners, mobile phones, computers, microwave ovens, washing machines, refrigerators, and televisions...
- HuaweiHuaweiHuawei is a Chinese multinational networking and telecommunications equipment and services company headquartered in Shenzhen, Guangdong, China...
- KejianKejianChina Kejian Corporation Ltd, better known as Kejian, is a Chinese telecommunications company.During the 2002–03 FA Premier League season, the company sponsored Everton F.C.....
- Konka Group
- Legend Group
- Lenovo
- Ningbo BirdNingbo BirdNingbo Bird is a Chinese manufacturer of mobile phones.The company was established in 1992 in Fenghua and, in 1997, became China’s largest pager manufacturer. Ningbo Bird started manufacturing mobile phones in 1999. It was listed on the Shanghai Stock Exchange the next year...
- TCL CorporationTCL CorporationTCL Corporation is a multinational electronics company headquartered in Huizhou, Guangdong, China. In 2010 it was the world's 25th-largest consumer electronics producer and sixth-largest television producer .TCL comprises three listed companies: TCL Corporation , which is listed on the Shenzhen...
- YulongYulongYulong may refer to:* Yulong Naxi Autonomous County , of Lijiang, Yunnan** Yulong Snow Mountain , or Jade Dragon Snow Mountain* Yulong River , in Guangxi* Yulongsi Formation, in Yunnan...
- ZTEZTEZTE Corporation formerly Zhongxing Telecommunication Equipment Corporation is a Chinese multinational telecommunications equipment and systems company headquartered in Shenzhen, China...
- NokiaNokiaNokia Corporation is a Finnish multinational communications corporation that is headquartered in Keilaniemi, Espoo, a city neighbouring Finland's capital Helsinki...
China - NIVS China
- MotorolaMotorolaMotorola, Inc. was an American multinational telecommunications company based in Schaumburg, Illinois, which was eventually divided into two independent public companies, Motorola Mobility and Motorola Solutions on January 4, 2011, after losing $4.3 billion from 2007 to 2009...
China - Samsung ElectronicsSamsung ElectronicsSamsung Electronics is a South Korean multinational electronics and information technology company headquartered in Samsung Town, Seoul...
China - LGLGLG may refer to:*LG Corp., a South Korean electronics and petrochemicals conglomerate*LG Electronics, an affiliate of the South Korean LG Group which produces electronic products* Lawrence Graham, a London headquartered firm of business lawyers...
China - Sony EricssonSony EricssonSony Ericsson Mobile Communications AB is a joint venture established on October 1, 2001 by the Japanese consumer electronics company Sony Corporation and the Swedish telecommunications company Ericsson to manufacture mobile phones....
China - Apple Inc. China (iPhoneIPhoneThe iPhone is a line of Internet and multimedia-enabled smartphones marketed by Apple Inc. The first iPhone was unveiled by Steve Jobs, then CEO of Apple, on January 9, 2007, and released on June 29, 2007...
is available from 2009 for China UnicomChina UnicomChina Unicom or China United Netcom Ltd , is a Chinese state-owned telecommunications operator in the People's Republic of China.-History:...
's service. WiFiWIFIWIFI is a radio station broadcasting a brokered format. Licensed to Florence, New Jersey, USA, the station is currently operated by Florence Broadcasting Partners, LLC.This station was previously owned by Real Life Broadcasting...
function is clipped.) - Sharp CorporationSharp Corporationis a Japanese multinational corporation that designs and manufactures electronic products. Headquartered in Abeno-ku, Osaka, Japan, Sharp employs more than 55,580 people worldwide as of June 2011. The company was founded in September 1912 and takes its name from one of its founder's first...
China - PhilipsPhilipsKoninklijke Philips Electronics N.V. , more commonly known as Philips, is a multinational Dutch electronics company....
China - BlackBerryBlackBerryBlackBerry is a line of mobile email and smartphone devices developed and designed by Canadian company Research In Motion since 1999.BlackBerry devices are smartphones, designed to function as personal digital assistants, portable media players, internet browsers, gaming devices, and much more...
China - GoogleGoogleGoogle Inc. is an American multinational public corporation invested in Internet search, cloud computing, and advertising technologies. Google hosts and develops a number of Internet-based services and products, and generates profit primarily from advertising through its AdWords program...
China (The introduction of Nexus OneNexus OneThe Nexus One was Google's flagship smartphone manufactured by Taiwan's HTC Corporation. It became available on January 5, 2010 and uses the Android open source mobile operating system...
for China UnicomChina UnicomChina Unicom or China United Netcom Ltd , is a Chinese state-owned telecommunications operator in the People's Republic of China.-History:...
in January, 2010, was postponed due to the censorship debate.)
Domestics sales
The domestic sales of cell phone made a breakthrough of 100 million in China in 2006.In 2007, the domestic sales of cell phone in china were 190 million, increased by 74% as compared with 2007. The impetus mainly came from the rapid growth of new mobile phone users and old customers' upgrading demands. Of 190 million cell phones, 140 million were made through formal channels, while the rest were made through informal channels such as smuggling
Smuggling
Smuggling is the clandestine transportation of goods or persons, such as out of a building, into a prison, or across an international border, in violation of applicable laws or other regulations.There are various motivations to smuggle...
, counterfeiting and renovating.
Sales volume
For year of 2007, sales volume had reached about 23 billion USD, increased by 17% as compared with 2006. The drop of cell phones' average price made the increment of sales volume lower than the increment of sales because mobile communication company vigorously promoted the sales of cell phones binding to their service which have lower price.Export volume
The export volume of China's cell phones added up to a record high of 385 million in 2006, increased by 69.3% as compared with 2005. In 2007, this figure reached 483 million, increased by 125.45% as compared with 2006. As far as 2006, the export volume had reached 31.214 billion USD, increased by 52.47% as compared with 2005. The export volume of 2007 was 35.6 billion dollars, increased by 114.01% as compared with 2006.Development trend
The latest 2–3 years' development trend (2005–2008) has showed that the mainland market is developing in two directions, one of which is the extremely low price cell phones in emerging rural market; the other is multimediaMultimedia
Multimedia is media and content that uses a combination of different content forms. The term can be used as a noun or as an adjective describing a medium as having multiple content forms. The term is used in contrast to media which use only rudimentary computer display such as text-only, or...
cell phones with diverse functions such as mobile television, MP3
MP3
MPEG-1 or MPEG-2 Audio Layer III, more commonly referred to as MP3, is a patented digital audio encoding format using a form of lossy data compression...
and GPS.
Pricing
China's cell phone market is dominated by products with price under 2000 RMBRenminbi
The Renminbi is the official currency of the People's Republic of China . Renminbi is legal tender in mainland China, but not in Hong Kong or Macau. It is issued by the People's Bank of China, the monetary authority of the PRC...
yuan
Renminbi
The Renminbi is the official currency of the People's Republic of China . Renminbi is legal tender in mainland China, but not in Hong Kong or Macau. It is issued by the People's Bank of China, the monetary authority of the PRC...
(about 290 dollars). Products at this price have accounted for 60% of the whole cell phone market, competing with China's local brands, informal cell phones and international brands.
Some features of China's mobile phone
- All cell phone service must be prepaid. Pre-payment can be made by buying a card (50 or 100 yuan) and calling the cell phone company, or through commercial banks. When out of town, pre-payment is not easy, usually solved by calling a friend in your own town to add money.
- There is a clear distinction of cell phone and cell phone service in China, unlike some countryies such as Japan where the cell phone is sold by and locked to the cell phone service companies. This tradition was broken by the 2009 introduction of Apple Inc.'s iPhoneIPhoneThe iPhone is a line of Internet and multimedia-enabled smartphones marketed by Apple Inc. The first iPhone was unveiled by Steve Jobs, then CEO of Apple, on January 9, 2007, and released on June 29, 2007...
introduction. - Stealing of cell phones and therefore SIM cards is quite common. When a cell phone is stolen, the owner must visit the cell phone service company to cancel the previous card, at the same time retaining the previous phone number and pre-payment.
- A short messageSMSSMS is a form of text messaging communication on phones and mobile phones. The terms SMS or sms may also refer to:- Computer hardware :...
(SMS) or duanxin , usually 0.10 yuan per message (up to 160 alphabetic or 70 Chinese characters), can be sent to any other cell phones across different cell phone service companies, GSM, CDMA or PHS. - Multimedia Messaging ServiceMultimedia Messaging ServiceMultimedia Messaging Service, or MMS, is a standard way to send messages that include multimedia content to and from mobile phones. It extends the core SMS capability that allowed exchange of text messages only up to 160 characters in length.The most popular use is to send photographs from...
(MMS) or caixin is also available, usually 0.3 yuan per message (up to 50 kilobytes). - Calling , usually 5 yuan per month, is an additional service by which the called party can send as the ring tone to the calling party the music (or any kind of sound) that the called party likes . Usually detested by foreigners, but loved by the Chinese young.
See also
- Mobile phoneMobile phoneA mobile phone is a device which can make and receive telephone calls over a radio link whilst moving around a wide geographic area. It does so by connecting to a cellular network provided by a mobile network operator...
- Telecommunications industry in ChinaTelecommunications industry in ChinaThe telecommunications industry in China is dominated by three state-run businesses: China Telecom, China Unicom and China Mobile. The three companies were formed by a recent revolution and restructuring launched in May 2008, directed by Ministry of Information Industry , Nationals Development and...
- Communications in China