Experts: Fiber Optic Investment Increases by Over 60%

The construction of optical network city has promoted the upgrade of China's broadband industry. Broadband is an indispensable infrastructure for informationization and a material basis for informationization. If a country wants to move from an industrial society to an information society, it must conform to mobilization in the law, then to broadband and all-IP, and finally the logical order of integration is to be held in 2011. On the forum, Chen Jiachun, deputy director of the Communications Development Department of the Ministry of Industry and Information Technology, stated that during the "12th Five-Year Plan" period, it is necessary to continue to promote broadband speeding, expand broadband coverage, and ensure network and information security. According to the data given by Chen Jiachun, deputy director of the Department of Communication Development of the Ministry of Industry and Information Technology, by the end of 2010, China’s broadband access port for IoT reached 188 million yuan, nearly four times the initial period of the “Eleventh Five-Year Plan”, 98% of which were Broadband, 75% of towns have internet capabilities. In terms of broadband users, the number of broadband Internet users in China increased by 104 million in 2010, and the number of Internet broadband users in basic telecommunications companies increased by 22.36 million.

There is no doubt that the development of broadband in China during the 12th Five-Year Plan period will increasingly highlight its importance. What are the development trends? As a basic telecom operator, China Telecom vigorously promotes the construction of optical networks. What are the positive effects of optical network construction on broadband development and broadband applications? In order to better understand these issues, the reporter interviewed Professor Fan Pengfei and Mr. Cao Zili of the School of Economics and Management of Nanjing University of Posts and Telecommunications.

Operators accelerate optical fiber broadband investment Reporter: From the perspective of the national broadband strategy, how can the importance of broadband construction in China during the “12th Five-Year Plan” be reflected? At this time, what is the importance of advancing China's optical network construction?

Fan Pengfei and Cao Zili: Broadband is an indispensable infrastructure for informationization and the material basis for informationization. The per capita possession of broadband and per capita information has become one of the core indicators of national economic strength. If a country wants to move from an industrial society to an information society, it must conform to mobilization in the law, then to broadband, all-IP, and finally a logical sequence of convergence. Therefore, China has made it clear that more than 80% of investment in the telecommunications industry during the “12th Five-Year Plan” period will be invested in upgrading the broadband industry to effectively conduct broadband construction during the “12th Five-Year Plan” period.

The optical communications investment based on the "broadband China" strategy will run through the entire "12th Five-Year Plan" period. As of the end of 2010, FTTx subscribers only accounted for 15% of broadband subscribers, and the development space was huge. Operators were all making plans to accelerate the construction of broadband optical fiber investment; and the FTTx network structure determined that the optical fiber broadband investment had the law of “deeper investment deeper”. Industry insiders predict that the scale of optical fiber broadband access investment will increase by 62.2% and 42.2% year-on-year in 2011 and 2012 (the actual scale in 2010 will increase by 85% year-on-year). In terms of tariffs, with the implementation of "broadband China," China Telecom predicts that the "jumping period" of broadband rates and tariffs will come in about three years, and broadband tariffs will continue to decline. After the “jumping period” development, the penetration rate and bandwidth of optical fiber access have been greatly improved, and the bandwidth threshold has been increased by leaps and bounds, and the unit price per megabit of broadband will continue to decline.

On February 16, 2011, China Telecom announced the layout of the “Twelfth Five-Year Plan”. It will invest heavily in fiber-to-the-home construction in 2011 and will fully launch the “Broadband China Optical Network City” project. It is expected that all cities will be opticalized within three years. Broadband users' access bandwidth will jump more than 10 times in 3-5 years. By the end of the “Twelfth Five-Year Plan”, more than 100 million fiber-optic homes will be implemented. China Telecom has made efforts to build an optical network, or reflects the signal that China's national broadband strategy will start. Earlier, President Barack Obama announced plans to promote the construction of a high-speed wireless network, which will enable 98% of households in the United States to use high-speed Internet within five years. China will ensure that the informatization basis for ensuring economic development in the new-generation global broadband landscape is not weakened. The national broadband strategy has become more urgent.

Optical network construction to achieve a win-win situation in the industry Reporter: The construction of optical network cities focuses on building 100-megabit access capacity and achieving a steady upgrade of broadband. What positive effects will this bring to technological innovations such as Internet of Things, triple play, and cloud computing? Relative to mobile communications, the all-fiber broadband network is the most important infrastructure in the information society and the core network. How do you view the importance of optical network construction to the development of the national economy and the people's livelihood?

Fan Pengfei and Cao Zili: Fiber-optic broadband will promote the development of emerging industries such as the Internet of things, triple play, and cloud computing, and promote the emergence of new services and new terminals. For example, smart home and other Internet of Things applications will integrate all types of applications within the home, complete security alarms, real-time notifications and video linkage, users can monitor real-time home security through mobile phones. At the same time, it combines remote control and management of electrical equipment in homes to achieve a full smart home environment, allowing users to enjoy a safe, convenient and comfortable information life. The emergence of cloud broadband products that incorporates high-speed broadband and cloud computing will completely change the user's computer consumption habits. Users no longer need to continuously pay for the cost of updating and upgrading hardware. They only need to pass the cloud's virtual processing capacity and dynamic storage of virtual storage. Continue to use the computer with the best computing performance.

Optical network city construction is an important livelihood project. Optical network cities not only directly improve the scope and content of modern Internet information applications, but also their own tariffs have entered the ever-declining track. The implementation of "Broadband China Optical Network City" will bring real benefits to users, per megabyte. The cost will be greatly reduced. In fact, as a national strategic information facility, broadband networks must be continuously and massively invested. With the development of optical fiber, the rate and penetration rate of optical fiber access bandwidth will be greatly increased, and the bandwidth threshold will also be greatly increased, while the per-megabit price of broadband will have a very large decline. China Telecom will continue to increase the level of intelligence in the broadband network. In the near future, customers will be able to freely select bandwidth at any time and in accordance with different services. This will also provide users with the possibility of saving bandwidth usage costs.

The construction of optical network city has promoted the upgrade of China's broadband industry. Broadband is an indispensable infrastructure for informationization and a material basis for informationization. It can be said that broadband is an important platform for China's promotion of integration, and it is also an inevitable trend of industrial upgrading. During the 12th Five-Year Plan period, China will invest a lot of funds in broadband construction, which is to build the material foundation of the information society, and it is also an important guarantee for the radiation-related industries and the promotion of the overall upgrading of industrial development.

Optical network city construction achieves a win-win situation in the industry. The information infrastructure is broadband network construction. China Telecom's wire-and-wire-integrated "universal" broadband network is an important guarantee for the implementation of the "broadband China-based optical network city" strategy.

At present, countries around the world have put broadband construction into consideration in the national information strategy. Many countries, including the United States, have issued high-speed network construction plans. In China, accelerating the construction of urban optical networks will play a role in promoting the integration of three networks, the Internet of Things and even smart cities. In addition, it is also the need for telecom operators to transform their businesses and find new revenue growth points. With fiber broadband access and its various applications, it can provide more new broadband services and increase user satisfaction and ARPU. A win-win strategy.

In short, with the full implementation of the "Broadband China Optical Network City" project, the application effect and radiation of China Telecom's broadband business to the national economy and various social fields will become increasingly significant. To further promote the social informationization process and realize the country " The Twelfth Five-Year Development goals should make due contributions.

Optical network is the foundation of ubiquitous networks Reporter: In addition to network hardware facilities, the corresponding application of optical network urban construction must be continuously improved. What are the positive effects of optical network construction on improving industrial intelligent applications and building smart cities? How effective is improving related network applications to increase the economic value of the Internet?

Fan Pengfei and Cao Zili: On the road of informationization, the Internet plays an irreplaceable role. Therefore, a good network is undoubtedly the foundation and guarantee of all smart life. Optical fiber access, and the construction of optical network cities is the best way to increase the speed of the network, which can make the city's information highways wider and more open. The Urban Optical Network is the foundation of the ubiquitous network and is the underlying bearer network of the IoT/ubiquitous network being nurtured and the later smart cities. As a solid backing for the construction of the Internet of Things and smart cities, the construction of optical networks can effectively increase the overall level of broadband, and then increase the city's level of informatization, and contribute to the construction of smart cities.

For users, the benefits of urban optical network construction are practical. Today, the Internet has become an integral part of people's lives. It is especially important that the Internet is ubiquitous and available at all times. How to allow users to achieve high-speed Internet access and enjoy high-definition experience. The city's optical network, which is slowly spreading out, can make quality changes in people's quality of life through quality networks.

Optical network means that you can enjoy more colorful online video resources, smoother and clearer Internet phone calls, and more powerful online applications. Urban Optical Network will create a more convenient and smart new lifestyle and consumption model for users. The comprehensive construction of the optical network city will enable the entire city to form a huge network covering every detail of people's lives and recording every moment of changes and progress in urban life. Smart applications in the industry and smart cities will be within easy reach.

In addition, full network coverage is conducive to the refinement of urban management, the use of the network can implement the entire process of monitoring, in the security management and social prevention and control, the same resources can be integrated to make the city's management more intelligent. With the continuous improvement of industry-related applications, the value of urban optical network to social development and national economy will be further reflected.

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