China to reportedly invest 1.5 trillion yuan ($214 billion) by 2025 and apply 5G to all sectors of society in order to take the initiative in 5G services.
At China 5G Economic Forum held in Beijing on the 13th, China International Economic Exchange Center, border consulting firm, and China Telecom announced China 5G Economic Report 2020.
According to the Chinese media, reports predicted that China will invest 900 billion yuan. As well as create 540,000 jobs in order to commercialize 5G in 2020. It also estimated the country to invest 1.5 trillion yuan ($214 billion) by 2025 and create 3.5 million jobs related to 5G.
How 5G gives impact to economy in China
The report analyzed that by 2030 5G will directly affect the Chinese economy. It will generate 6.3 trillion yuan in total output and 2.9 trillion yuan economic value. Indirect economic contribution is total output at 10.6 trillion yuan. And economic value at 3.6 trillion yuan.
South Korean government and businesses leading investments have created a positive industrial environment for 5G in China. Chinese consumers open attitude towards new technologies has made China an attractive 5G market.
China started commercialization of 5G service on November 1. Eric Xu, Deputy Chairman of Huawei, also said, ” China’s 5G network will rapidly increase to 200 million next year. ” The country is providing 5G service for about 50 cities this year. It is planning to expand it to more than 300 cities next year.
“5G is a new impetus for the growth of the Chinese economy as a major step towards the development of next-generation information and communication technologies. The development of 5G and related industries will play an important role in promoting the national economy and social development. ” -Wei Jiangguo, vice president of China Center for International Economic Exchange.
Chinese 5G smartphone market is also expecting explosive growth with this announcement of 5G technology investment. Huawei has launched the first 5G smartphone in the country last August.