Slowdown in the growth of mobile revenue compared to growth in mobile subscriber base has been encouraging Chinese operators to focus more strongly on the development of Value-Added Services (VAS) for rich urban and rural (to some extent) consumers. According to our research report Restructuring and 3G – New Dimensions for China Telecom Sector, telecom value-added services market in China will grow at a CAGR of around 26% till 2013. China’s telecom VAS market, particularly Mobile Value-added Services (MVAS), will be driven by the launch of 3G services, which heavily depends on data services rather than traditional voice services.

We have found that the deployment of 3G in value-added services will allow Chinese consumers to access the internet, download music, stream Internet video, use mobile mailboxes, pay bills online, and engage in mobile blogging & interactive 3D gaming – all through their mobile phones. However, operators will have to strive hard to obtain major chunk of the 3G markets. They need to work upon strategies that will lure their 2G subscribers to migrate towards the newly offered 3G services.

As per our study, handset manufacturers will also get benefit from the rollout of 3G. Majority of subscribers use entry-level phones that are only capable of making calls and sending text messages, whereas the need to switch over towards next generation networks will fuel the sales of 3G enabled handsets. Thus, the burgeoning 3G markets offers a tremendous growth potential for various industry players such as, handset vendors, value added service providers, application developers, etc.

Restructuring and 3G – New Dimensions for China Telecom Sector also focuses on market drivers other than 3G that are making Chinese telecom market attractive. It provides detail analysis on the fixed-line telephony, mobile telephony, internet, and broadband market in the country, coupled with its current performance and future prospects. This report has been made to provide clients an insight into the status of emerging technologies, subscriber growth, handset sales, market share, market penetration, competitive landscape, opportunities and roadblocks, and future scenario of the Chinese telecom market.

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