Telecom official cautions against 5G arms race

26 Jun 2019

Full-service provider China Telecom has warned of the ‘growing mismatch’ between the investment needed for 5G deployment and the revenue-generating potential of the new technology, Mobile World Live writes. Speaking at the MWC19 event in Shanghai, the chairman of Telecom’s Technology Steering Advisory Committee, Wei Leping, explained that the industry is facing declining service revenues whilst at the same time facing higher costs for network rollouts. As such, the official cautioned against competition being the driver for network deployment, rather than a strong business case, saying that the company does not want to be drawn into a ‘so-called arms race’ that will drain its resources. On a more positive note, however, the Mr Leping added that the 5G ecosystem is more inclusive than 4G, with operators more open to cooperating with other verticals – such as smart manufacturing, the car industry and public security – saying: ‘We hope we can involve more stakeholders from across various sectors so we can all enjoy the dividends 5G will bring’.

China, China Telecom Corporation