Recently, China Mobile, one of China’s state-owned major operator, announced the bidding result of 2017 Internet of Things (IoT) dedicated core network (phase IV). ZTE and Huawei are the final winners, proving their leading position in China. According to the result, ZTE won more than half of the share, showing obvious advantages. Then, why is ZTE superior in the core network field?
ZTE becomes the new favorite of core network to China Mobile.
2017 is recognized as the first year of large-scale commercialization of IoT in China, and is the critical period for telcos accelerating deployment. It is reported that the total investment of China Mobile Cellular IoT Project in 2017 – 2018 reaches up to 40 billion CNY.
For the details of this bidding, package 1: 8 sets of M-HLR/HSS, 103.15 million basic users, 30.99 million 4G users, 1.94 million VoLTE users; package 2: 14 sets of M-GGSN/PGW, 50.76 million basic PDP, 23.36 million 4G PDP, 15.2 million PCEF PDP.
ZTE won 60% share of package 1 (M-HLR/HSS), and Huawei won 40%. Likewise, ZTE won 59% share of package 2 (M-GGSN/PGW), and Huawei won 41%.
The results indicates that ZTE is the most direct beneficiary of the construction of operator’s cellular IOT, and also shows ZTE’s technical strength and leading position in the IOT field.
Years of accumulation, powerful core technologies
A few days ago, ZTE released its interim financial report, showing a very healthy growth with a 29.8% surge in first-half net profit. It is rare for ZTE to achieve this when the whole industry is pessimistic about the future of equipment vendors.
As one communication solution provider of the world’s first echelon, ZTE provides innovative technologies and product solution for telcos and enterprise customers in more than 160 countries and areas. ZTE is able to provision a complete network construction solution and a complete application solution including IoT chips, modules and terminals.
ZTE is the leading player in system, equipment and terminal of the ICT field, and has large market share in all fields from design, development, production, retail down to installation. ZTE offers innovative technologies and product solutions covering Radio Access Network (RAN), Core Network, Optical Transport Network (OTN), Packet Transport Network / IP Radio Access Network (PTN / IP RAN), Passive Optical Network (PON) and more.
ZTE’s service products of RAN and core network include communication base stations of 2G/3G/4G/5G and core network equipment. Though the core network market scale is smaller than RAN, it still expects a magnitude of billions of dollars. As equipment complicity grows, the market scale will also rise. ZTE will demonstrate more of its advantages in core network.
