In terms of both network capacity and total number of subscribers, China has the highest concentration of fixed-line and mobile networks in the world. Competition is on the rise in China's telecommunications sector as the major carriers – CHINA TELECOM, CHINA NETCOM, and CHINA MOBILE – strive for network expansion and increased services.

Sales projections for service providers and equipment manufacturers eager to do business in China are even more promising. China's domestic manufacturers can't possibly keep pace with the rapid growth of the telecommunications/IT market in China. As a result, more than 75% of the carrier class switching technology purchased in China is imported.

Network Expansion in China

A $60 Billion Dollar Market with 880 Million Fixed Line Subscribers, 500 Million Mobile Subscribers, and 150 Million Internet Subscribers

CHINA TELECOM and CHINA NETCOM: The two industry leaders in wireline connections, both have their own nationwide networks utilizing SDH and ATM for traditional voice and data transmission, and ADSL, FTTH and Ethernet to provide Internet access.

CHINA MOBILE: The industry leader in mobile communications, operates the world's largest GSM networks, as well as provides CDMA, GPRS and WAP services to cell phone users.

China's telecom sector will create huge profits for equipment manufacturers and service providers

China's Ministry of Information Industry (MII), the national government administration that regulates the telecom sector, expects the number of cellular users in China to reach 500 million, with a nationwide penetration rate of 41.6%. As subscriber recruitment levels climb higher year after year, Chinese telecom carriers expect to generate combined annual revenues of $60 billion dollars.

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