Chinese consumers struggle with slow 3G speed, despite paying steep rates
August 16, 2013 Leave a comment
Chinese consumers struggle with slow 3G speed, despite paying steep rates
Staff Reporter
2013-08-11
Faster mobile internet speeds are on the priority of every company involved in the mobile internet revolution, but even though the number of users has been rising, mobile internet charges are also continuing to appreciate. The monthly 3G rate for users in mainland China is four times higher than that in the United States on an average, more than 20 times the rates charged in South Korea and over 100 times higher than in Hong Kong. The 3G internet speed, on the other hand, is slow and not even half the speed found in these areas.A Beijing resident surnamed Zhu said her iPhone 5 was working well, but the internet connection is just too slow. She added that telecom operators should either lower 3G rates or boost internet speed.
A lot of mobile users turn off their 3G connections as the month-end approaches, because they have already consumed their monthly quota.
Geng Yen, vice general manager at CCIDConsulting.com, pointed out that the internet being expensive is a result of monopolization by service operators in China.
He further explained that operators have yet to earn profits from the 3G sector because of their considerable investment in the service. The operational costs can only be reduced when the number of users increased.
Only 30% of China Mobile’s 700 million subscribers use 3G services.
In addition, since 4G licenses are going to be issued in China by the end of this year, telecom operators will face pressure to invest in 4G technology. It will be difficult for these companies to lower their prices, Geng stated.
He also pointed out that the slow speed, coupled with the high rates was definitely unfavorable for the construction of information technology in the country.
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