According to the economic news report of the Hong Kong Economic Times, Li Yue, executive director and CEO of China Mobile (00941.HK), said after the shareholders' meeting that the launch of the "unlimited traffic" plan in the market will definitely have an impact on China Mobile. The flow package will "dig over" some customers.
The above report quoted Li Yue as saying that China Mobile is a large-scale company. He will do everything possible to prevent the "unlimited traffic" plan from being launched because it may be profitable in the short term, but it is very dangerous and unimaginable in the long run, which may lead to losses.
However, China Mobile told reporters that the Hong Kong media misinterpreted Li Yue’s speech. His intention was that operators should not develop unlimited traffic packages on a large scale.
It is conventionally understood that “unlimited traffic†refers to a package that does not have a traffic ceiling, which has previously arisen abroad. At present, the three major operators in China have successively launched the "unlimited traffic" package.
On the evening of February 24 this year, China Unicom released a new series of “ice cream†packages in Shanghai. The new packages “voice†and “traffic†are both unlimited, opening a precedent for domestic mobile tariffs. Among them, the 398 yuan / month ice cream package contains unlimited domestic unlimited voice and unlimited traffic.
At that time, Sun Jiangshan, deputy general manager of China Unicom's market, said that he hopes to use the "ice cream" package to develop young and middle-aged users and increase the value of China Unicom's ARPU (per-user monthly income).
"We are the first to launch an unlimited number of packages in China. Previously, foreign operators have had successful experiences." Sun Jiangshan said that China Unicom hopes that other operators will follow up with the launch of unlimited packages, thereby promoting further reduction of mobile tariffs.
On May 3, China Mobile officially announced the “I use it†package for new customers. There is no upper limit for domestic traffic, which is divided into two positions: 188 yuan/month and 288 yuan/month. When the traffic usage exceeds 12GB and 20GB. After that, it will be speed limited. The old users need to pay 238 yuan / month to upgrade to the "any use" package, the limit of unlimited speed traffic is 15GB, it can be seen that China Mobile will also explore new users as the main target.
China Telecom said on May 9 that it launched the Tianyi Unlimited Package, 199 yuan/month, and the first 40GB provided 4GB network. After that, it will drop to the highest 3.1Mbps. After the accumulated 100GB in the month, the Internet function will be turned off and resumed the next month.
According to Radio Television Hong Kong, China Mobile Chairman Shang Bing also said at the shareholders meeting on May 25 that in response to the policy requirements for speed-up and fee reduction, after China Mobile canceled domestic long-distance and roaming charges for mobile phones in the fourth quarter of this year, it is expected that revenue will be A reduction of 4 billion yuan, while reducing the access of small and medium-sized enterprises to the Internet and international long-distance spending will reduce revenue by 3 billion yuan, a total reduction of 7 billion yuan, and it is estimated that next year's income will be reduced by 19 billion yuan.
China Mobile's 2016 financial report shows that the revenue of the year was 708.4 billion yuan, achieving a net profit of 108.7 billion yuan, leaving China Unicom 630 million yuan and China Telecom's net profit of 18 billion yuan far behind.
The data shows that China Mobile still has the advantage of rolling in terms of profitability, 4G users, and number of base stations. From the perspective of 4G users, China Mobile's 4G subscribers reached 535 million in 2016, China Telecom has 122 million, and China Unicom has just exceeded 100 million.
Among them, traffic revenue has become the backbone of China Mobile's revenue. The financial report shows that China Mobile's wireless Internet revenue increased by 43.5% compared with last year, accounting for 46.2% of the communication service revenue ratio, and exceeded the sum of voice and short multimedia message revenue for the first time of the year. Become the number one source of income. China Mobile said that its monthly average traffic usage of its customers has entered the GB era.
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