Press release
China-Telecommunication Services: Promising market supported by demand for data but subject to legal risks (Strategy, Performance and Risk Analysis) Forecast 2017-2021
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Key Highlights
Growing PC penetration will increase demand for broadband
Increased adoption of personal computers resulting in enhanced demand for broadband is expected to drive internet accounts growth, which will offset the decline in voice telephony subscriber lines. Internet accounts increased at 13.0% CAGR during 2012-2016 from 189.2 million in 2012 to 308.2 million in 2016, with expectations to grow at 9.6% CAGR over 2016-2021 to reach 486.5 million by 2021. Voice telephony subscriber lines declined at a -0.8% CAGR during 2012-2016, from 255.8 million in 2012 to 247.6 million in 2016, yet are expected to grow at 6.4% CAGR over 2016-2021 to reach 364.4 million by 2021
China Mobile topped in mobile services revenues
China Mobiles revenue increased at 5.5% CAGR during 2012-2016, from US$84,790 million in 2012 to US$105,129 million in 2016. Similar to its leading position in mobile subscriptions, the company also led the market for mobile services revenue over the last four years, followed by China Unicom.
Low competitiveness leading to high churn
Although Chinas telecom industry reported a decline in churn rates in 2016, it still lags behind other markets in Asia Pacific. China mobile churn stood at an estimated 35.7% in 2016, which is substantially higher than Japan, New Zealand, South Korea and Singapore. For instance, the mobile churn for these countries stood at 10.3%, 21.9%, 20.8% and 18.7% in 2016, respectively. The higher churn indicates a low competitive position in the region.
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Scope
- Risk/Reward Index - enables you to assess the risks and potential rewards of investing in the Chinese telecommunications market in comparison with other Asia-Pacific countries.
- Industry Snapshot and Industry View - Key Telecommunications Industry Statistics, including fixed/mobile revenue, subscriptions, churn, market share, and ARPS, are analyzed to reveal the key issues and trends that drive market performance in the Chinese telecommunications market.
- Industry SWOT Analysis - Discover the Strengths, Weaknesses, Opportunities and Threats impacting market performance and investments in the Chinese telecommunications market.
- Industry Benchmarking - Benchmark how the Chinese telecommunications market is performing compared to the regional and global markets in terms of fixed or mobile revenue, subscriptions, ARPS, penetration, and usage to gauge potential for growth or market entry.
- Competitive Landscape - Analyze and compare the performance of the leading players in the Chinese telecommunications market through the business segment on metrics such as churn, ARPU, and subscriber and revenue growth.
Reasons to buy
- How has the market performance changed over the review period, and what patterns are forecast in regards to the key industry sectors, namely: revenues, subscribers, ARPU, and customer churn?
- How government initiatives, along with technological innovations within the industry, will impact the growth and development of the Chinese telecom market?
- An overview of the key developments made over the review period, and the entities involved?
- What opportunities are available in the market, and how will this effect growth; what are the challenges, and how will this effect growth?
- How government actions, both in terms of initiatives to improve the quality of services and stringent regulations, has influenced the market, and the effects that this has had on key players?
- An in-depth analysis of the financial deals landscape, along with details on the key deals made?
- What are the primary drivers of the Chinese market in terms of the markets sectors: data, prepaid, postpaid, broadband, and IPTV?
- How economic growth and business opportunities are to favor both the internet and voice segments?
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