Telecom Company to Upgrade Infrastructure to Improve Internet Services
China Mobile is planning to invest further in upgrading its infrastructure so its subscribers can enjoy faster internet and data access once the government gives the approval for its 4G telecom licenses before the year ends. Rivals China Unicom and China Telecom is also following suit as they are also in the works of upgrading their 4G systems. Although having a faster data service isn’t better, these telecom carriers are prepared to roll out 4G even force to sacrifice profitability for the coming years.
Pressure to keep up with international standards is strong and these mobile carriers along with others in the markets are now struggling to recover investments. Experts say that it will take these companies not less than five years to starting gaining back profits. Analysts are also saying that 4G packages that these companies offer must be attractive as Chinese mobile subscribers are looking for the best deals and having a great 4G package will lure them away from slower data plans.
These telecom giants may price its new contract better and at a level that can allow profitability right was but faces the risk of being the source of price complaints due to its higher price plans. But building a nationwide 4G network is a huge task and the cost of building the equipment costs more than 100 billion yuan. By offering a faster date service subscribers can use apps such as WeChat for video calls as well as voice and test messaging.