China's Ministry of Industry and Information Technology has urged the country’s major telecom operators to assess the impacts of the coronavirus outbreak, and then quicken construction on the nation's 5G roll-out. And considering that all communications operators in China are majority-owned by the state, the message is clear: let's get back to work.
And whilst this news might have heartened the Shanghai Stock Exchange, it will have disappointed those in the US government that may have been thinking, or hoping, that coronavirus could throw a spanner in works for China's 5G roll-out.
Rise in 5G shares
According to source, Xinhua, a statement released at the weekend after a work conference of the Ministry of Industry and IT said that China’s telecom companies should optimise 5G network construction plans, and fully utilise its role in stabilising investments, whilst spurring the development of the related industrial chain. And following the statement there has been a serious uptick in 5G-related shares.
China’s ongoing battle with coronavirus has seen the country extend its use of 5G technology via wide applications in work resumption, long-distance disease diagnosis, and transport network temperature checking.
The Ministry statement allegedly said companies should look to capitalise on business opportunities in sectors including online education and health services, and to promote information consumption.
5G came to China in June last year and the country saw a surge in consumer enthusiasm and an industrial investment.
Leading telecom operator, China Unicom, announced that together with China Telecom, it will finish the construction of 250,000 5G base stations, placed across the country, by the end of the third quarter.