Research Report of Chinese Telecommunication Operation Industry, 2008-2009

In 2008, the total volume of Chinese communication business reached RMB 2.38413 trillion, rising by 20.7% YOY. The communication business revenue remains steady increase. Chinese total communication business revenue was RMB 910.01 billion, increasing by 7.7% YOY. Among that, the revenue of telecommunication business and postal business were RMB 813.99 billion and RMB 96.02 billion, rising by 7.0% YOY and 14.0% YOY separately. The growth rate of the total communication business volume was 2.69 times that of the total communication business revenue.

By the end of December 2008, the quantity of Chinese telephone subscribers came up to 340.804 million households, falling by 24.832 million YOY with an average monthly reduction of 2.0693 million. The quantity of cell phone subscribers reached 641.230 million, growing by 93.924 million YOY with an average monthly increase of 7.827 million. The telephone penetration rate reached 25.8 per 100 persons while that of the home phone was 19.1. The administrative villages getting access to telephones took up 99.7%. The cell phone penetration rate was 48.5 per 100 persons.

By the end of 2008, the quantity of Chinese Internet dial-up subscribers came up to 14.377 million households, dropping by 5.033 million YOY. The quantity of Internet special line subscribers was 63,319, decreasing by 1,836 YOY. The quantity of Internet broadband subscribers reached 83.425 million, rising by 17.010 million YOY; among that, the quantity of xDSL subscribers was 67.026 million, increasing by 14.813 million YOY.

In 2008, Chinese telecommunication operation industry attained the largest fixed asset investment and the highest growth rate. The total fixed asset investment was RMB 295.37 billion. The YOY growth rate was 29.6%, rising by 25.3% compared with that of the previous year.

In 2009H1, the total volume of Chinese telecommunication business was RMB 1.22403 trillion, rising by 11.8% YOY; the main business revenue was RMB 405.59 billion, growing by 2.3% YOY.

By the end of June 2009, the mobile communication revenue and data communication revenue of Chinese three telecommunication operators increased by 10.8% YOY and 6.7% YOY respectively with their proportions in the total telecommunication business revenue rising by 4.50% YOY and 0.49% YOY separately. The local call business revenue of telephones fell by 13.5% YOY with its proportion in the total telecommunication business revenue dropping by 3.19% YOY. The long-distance call business revenue reduced by 11.5% YOY and its proportion in the total telecommunication business revenue dropped by 1.8% YOY.

By the end of June 2009, the quantity of Chinese telephone subscribers came up to 330 million households, reducing by 10.435 million compared with that at the end of 2008; the average monthly reduction volume was 1.7392 million. The quantity of Chinese cell phone subscribers was 695 million, rising by 53.954 million compared with that at the end of 2008; the average monthly growth was 8.9923 million. The penetration rate of telephones was 24.9 per 100 persons, while that of cell phones was 52.5. The administrative villages getting access to telephones accounted for 99.7%.

By the end of June 2009, the quantity of Chinese Internet dial-up subscribers reached 9.940 million households, falling by 2.338 million compared with that at the end of 2008. The quantity of Internet special line subscribers came up to 95,879, rising by 38,858 compared with that at the end of 2008. The quantity of Internet broadband subscribers was 93.482 million, growing by 10.603 million compared with that at the end of 2008; among that, the quantity of xDSL subscribers totaled 76.052 million, increasing by 9.035 million compared with that at the end of 2008.

According to the investment in 2009H1, there is still vigorous investment in Chinese telecommunication industry with a total amount of RMB 129.14 billion; the growth rate was 13.6% YOY, rising by 3.7% YOY.

Through this report, readers can acquire more information:

-Development of Chinese telecommunication operation industry, 2008-2009

-Monthly quantities of Chinese telephone subscribers, 2008-2009H1

-Monthly quantities of Chinese cell phone subscribers, 2008-2009H1

-Monthly quantities of Chinese Internet subscribers, 2008-2009H1

-Operation of China Mobile Communications Corporation, 2008-2009

- Operation of China United Network Communications Group Co., Ltd, 2008-2009

-Operation of China Telecom Corporation, 2008-2009

-Development of Chinese 3G business, 2008-2009

Following persons are recommended to buy this report:

-Telecommunication operators

-Telecommunication equipment manufacturers

-Investors concerning Chinese telecommunication operation industry

-Research institutions concerning Chinese telecommunication operation industry

-Others concerning Chinese telecommunication operation industry

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