Huawei President: "5G to Create 2550 Trillion Won Value for China's Economy Within 5 Years"

[Asia Economy Reporter Seulgina Jo] Ryan Ding, President of Huawei, stated, "5G will create an additional value of 1.9 trillion euros (approximately 2553 trillion KRW) for the Chinese economy within the next five years."

According to Huawei on the 2nd, Ryan Ding, Chairman of Huawei's Board and President of the Carrier Business Group, delivered a keynote speech titled "Innovation: Lighting Up the Future" at 'MWC 2021' held yesterday in Barcelona, Spain.

First, Ding emphasized that ICT innovation is becoming the driving force of global economic growth, and continuous 5G innovation will illuminate the future of all industries. He explained that the COVID-19 pandemic has ushered in a new normal era where the digital economy is the driving force of the global economy, and the value of ICT has increased accordingly.

He mentioned, "In countries where 5G is rapidly developing, telecom operators' revenues are increasing quickly." In China, more than 820,000 5G base stations have been installed in just 18 months, and Chinese telecom operators' revenue in the first quarter of this year increased by 6.5% year-on-year, with net profit rising by 5.6%.

He also predicted that the rapid development of digital infrastructure led by 5G will create an additional value of 1.9 trillion euros for the Chinese economy within the next five years. He added that similar trends are appearing in countries like South Korea and Europe, which were the first to commercialize 5G worldwide.

Ding stressed that in the 5G era, ICT infrastructure becomes the core foundation of the digital economy, making the role of telecom operators even more important. He explained that telecom operators can enter the path to success by going through three stages: ▲ accelerating 5G deployment based on precise analysis of high value-added sectors, key scenarios, and potential customers, ▲ rapidly increasing the number of 5G users, and ▲ presenting consumers with value-oriented flexible pricing models.

Ding evaluated, "5G is meaningful not just for its fast speed but because it provides consumers with new experiences and value, and some telecom operators have already achieved early business results." He continued, "5G is applied in over 1,000 projects across more than 20 industries such as steel and mining, supporting safe and efficient production. The type and scope of business and business model design determine the success of 5G business-to-business (B2B) operations."

Huawei identified the most important factor for 5G success as providing the best user experience through the network. Representative examples include lightweight, powerful, and energy-efficient massive multiple-input multiple-output (MIMO) devices, optical signal line distributors (OXC), and 5G super uplink solutions that combine the advantages of 2.1GHz and 3.5GHz bands.

Ding stated, "Industry standards related to 5G B2B need to be adjusted at a faster pace, and companies must integrate 5G into their core production processes to pursue digital transformation." He added, "The synergy of 5G with cloud and computing technologies will expand business areas and create new growth."

This content was produced with the assistance of AI translation services.