GSM Fends off CDMA Attack
GSM subscribers, both the 2G and 2.5G varieties, are forecast to still account for more than two-thirds of the Chinese cellular subscriber base at the end of 2007 according to a new report from IMS Research. This is despite challenges from various forms of CDMA including cdmaOne, cdma2000, W-CDMA and TD-SCDMA.
The report goes on to forecast that although CDMA, in its many forms, is projected to account for less than one-third of the subscriber base by the end of 2007, this does not mean that the Chinese market for CDMA equipment, both handsets and infrastructure, should to be overlooked. More than 36 million CDMA-based handsets and 3.5 million CDMA-based base station RF channels are projected to be shipped in China in 2007.
"Until the start of 2002, GSM enjoyed a monopoly in China in terms of digital cellular networks. However, with the launch of Unicom's cdmaOne service in January 2002 and forthcoming 3G network launches over the next few years, there are tougher times ahead for GSM" stated Alex Green, one of the report's authors. "Although GSM is projected to still be enjoying installed base dominance in 2007, its rate of growth is slowing whilst CDMA's is growing" stressed Green.
Chinese domestic companies are well positioned to take advantage of this future CDMA market, as they are with the domestic GSM market. At present there are numerous Chinese handset and infrastructure suppliers that are either producing or developing products. IMS Research's report suggests that these Chinese suppliers will pose a significant threat to the established Western equipment manufacturers during the next few years.'"
Posted to the site on 19th September 2002