Chinese telecom operators, together with the government, are planning for the arrival of fifth-generation (5G) wireless telecommunication technology, which is expected to be commercially launched in 2020.
While the governments of Japan and the United States have relied on the private sector to advance 5G technology, the Chinese government has set up national research and development programs to complement private efforts, a strategy similar to that of South Korea and the European Union.
In the Chinese market, there is a growing demand for faster Internet speeds, prompting the government to support the telecom companies in their 5G plans. 5G supporters are aiming for commercial deployments in the 2020 timeframe.
Although Chinese telecom companies only began offering 4G Internet services near the end 2013, both telecom companies and the government have already begun planning for the introduction of 5G.
While the definition of 5G is not yet final, the general idea is that it will be the next generation of wireless communication that will achieve a faster data rate of 10 gigabits per second and a latency of less than 1 millisecond. The exact standards for what will constitute 5G Internet service will be established in 2016.
Three ministries--the Ministry of Industry and Information Technology (MIIT), the National Development and Reform Commission (NDRC), and the Ministry of Science and Technology (MOST)--have set up a 5G promotion group since Feb. 2013 to coordinate the corporations and academia with regard to the development of 5G technology.
Chinese telecom equipment maker Huawei has said that 5G technology will not simply be an upgrade of 4G technology. Ken Hu, the rotating CEO of Huawei, stated that 5G will need to be compatible with past technologies, including 2G, 3G and 4G.
With spending this year on 4G networks expected to reach 200 billion yuan ($32.3 billion), the government and telecom companies are ensuring heavy returns on their investments and improving Internet technology.