Tuesday, October 25, 2011

China Unicom's 3G Users Have an Explosive Growth

By Anne Lee


China Unicom released the operational data in September. It added 2.362 million 3G users in one month. The analysts said that China Unicom's 3G users finally achieved explosive growth. However, if China Unicom wants to complete the annual goal to add 25 million 3G users, it needs add 2.94 million new users per month in the next 3 months.

The data show that in September China Unicom added 2.362 million 3G users, refreshing the record of new users in a single month. The cumulative number of 3G subscribers reached 30.23 million. In the July of this year, 3G users' net increase is 1.874 million. In August it for the first time broke the 2 million mark.

In so doing, China Unicom's new added 3G users in September are nearly 500000 more than that in July. From March to July of this year, China Unicom's 3G new users once hovered at 1.7 to 1.8 million households. It grew very slowly.

The analysts said that on the one hand, it is related with the selling seasons. The second half is the traditional peak season. On the other hand, it is related with the introduction of the 3G mobile phones and 46 yuan low-end packages.

After Apple introduced the iPhone 4S, China Unicom has correspondingly reduced the price of iPhone 4, a decline of 9%, 17% and 28%. It is expected that the sales of China Unicom's iPhone 4 will rise.

In addition, the report said, as China Unicom's target is that its 3G users reach 25 million by the end of this year, it is estimated China Unicom will re-launch a subsidy program of 286 million yuan to boost the revenue. And it will lock the market share of iPhone before the CDMA version of iPhone goes to the market.

Meanwhile, as of September, China Unicom's total new 3G subscribers this year are16.17 million. If China Unicom wants to complete the annual goal to add 25 million 3G users, it needs to have a total of 8.83 million new users in the next three months, equivalent to 2.94 million 3G new users each month. It is not so easy.




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