The three major operators have entered the "Red Sea" of 5G mobile phones. Where does their confidence come from?

Since the commercialization of 5G, China Telecom, China Mobile and China Unicom have successively launched 5G mobile phones of their own brands. This phenomenon has aroused the attention of the industry. Behind the three major operators vying to enter the independent 5G terminal, it is not difficult to see that the potential of the 5G terminal market is gradually showing.

Since the commercialization of 5G, China Telecom, China Mobile and China Unicom have successively launched 5G mobile phones of their own brands. This phenomenon has aroused the attention of the industry. Behind the three major operators vying to enter the independent 5G terminal, it is not difficult to see that the potential of the 5G terminal market is gradually showing. As we all know, there are Huawei in front of 5G terminals, and brands such as Xiaomi and OPPO in the back. The track of 5G mobile phones is not uncomfortable. What is the intention of operators to launch their own-brand mobile phones? Can they make a difference in the mobile terminal market?

Why did operators launch

Independent brand 5G terminal?

Recently, the Ministry of Industry and Information Technology announced the development of industry and informatization in the first half of 2021. Data shows that my country has opened 961,000 5G base stations. The comprehensive coverage of 5G base stations has largely driven the demand for 5G smart terminals. Major network technology companies and mobile terminal giants have released 5G mobile phones "first and foremost". They already have rich mobile phone manufacturing experience and a certain user group. At this time, why do basic telecom operators have to cross-industry to join such a highly competitive mobile phone competition? Tao?

On the one hand, it helps to attract consumer groups and obtain business profits. The mobile terminal in the C-end market-mobile phones can be said to be the link closest to the consumer group in the industry chain. If they are afraid or abandon the launch of their own branded mobile phones, many of the terminal businesses of the operators themselves will be taken away by the mobile phone manufacturers, especially in the face of funds. Large-scale international factories with strong technology leave little profits to operators. However, the current 5G application market is booming, and operators rely on their own experience in the communications industry and customer groups to launch their own mobile phone brands, which can better flatten the industry chain, connect the user market, and accurately feedback market needs to terminal manufacturers and industries.

On the other hand, it can further improve the operator's 5G ecosystem and open up the closed-loop business. With the layout of 5G, various 5G application scenarios are gradually enriched, and 5G has great potential in smart homes, smart communities, and digital travel. Operators launching their own branded mobile phones can improve their own industrial chain, control their own development pace, and use 5G terminals to develop simultaneously with the operators' own other 5G services.

 

Where is the advantage of the operator's own brand?

As of the end of June, as 5G has covered all prefecture-level and above cities in the country, and the number of 5G terminal connections is about 365 million, mobile phone manufacturers such as Huawei, Xiaomi, OPPO, VIVO, and Apple have launched their own 5G mobile phones, and the three major operators have entered 5G. In the mobile phone arena, where is the advantage of launching its own brand?

First, independent brands can combine their own communication service business to bring users a better service experience. Operators launch their own brand 5G mobile phones, often with many communication services, and even various forms of discounts on mobile phone tariffs, which is difficult for ordinary mobile phone manufacturers to provide users. For example, China Telecom’s Tianyi Cloud 1 mobile phone has a Tianyi cloud disk preset, and users can quickly synchronize data to the cloud through the cloud disk. Relying on China Telecom’s multiple trusted protection schemes of “connection + network + data”, it effectively protects users. Personal privacy and data.

 

Secondly, operators have a fixed customer base and can fully grasp user demand trends. Different from ordinary mobile phone manufacturers, operators have been deeply involved in the communications industry for many years. They have a highly sticky customer base and a sales model of online shops and offline business halls. They can obtain users' 5G needs in the first time and facilitate users' 5G life. Custom" 5G package. For example, in July, China Telecom released the full Netcom brand Maimang 10 SE 5G mobile phone, you can enjoy the 5G cloud package service after purchasing the machine, and provide free cloud space for users to use.

Operator entry

5G terminal "track" challenges still exist

The prospects for operators to enter 5G terminals are promising, but the mobile phone market is highly competitive. How to face the challenges directly and find a way to survive in the field of 5G mobile phones is the top priority.

First, 5G mobile phone market risks need to be borne by operators themselves. Operators entering 5G mobile phones of their own brands are different from cooperating with mobile phone manufacturers and providing business services to mobile phone manufacturers. They need to bear their own risks, whether it is product quality, maintenance or even shipping risks, they need to be borne by the operators themselves. Therefore, when operators enter the mobile phone market, they must not only consider how to retain and attract users, but also bear the risks of the mobile terminal industry.

Second, operators have not formed "killer" products since they entered the Internet. Operators have been on the road of own-brand terminals for many years, but until now, no "explosive" or "killer" products have been born. The current smart mobile terminal market is highly homogenized, and the mobile phones launched are similar. In order to gain a foothold in the smart mobile terminal market for a long time, operators must accelerate innovation and create "explosive models" in order to "outstand" in the 5G smart phone industry.