The merger of the two major operators!

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The merger of the two major operators!

2022-06-24 00:03:25 12 ℃

(Zhuhai, negotiate)


The merger of China Telecom and China Unicom is an old topic. This incident will always be repeatedly mentioned everywhere.

However, this also shows to a certain extent that the two companies do have the possibility of merger and even certain necessity.

The days of China Radio and Television 5G are getting closer, and the fierce level of competition in the follow -up communication market will definitely exceed imagination!

So, let's talk about this topic today!

status quo

The reform of China's communication industry began with the establishment of China Unicom.

Initially, only China Telecom was a China Telecom, which was an exclusive monopoly operation.

After that, China's communication industry has gone through a series of spin -off and mergers, and finally formed the separation of the three major operators today, which has continued to this day from the 3G era.

On June 6, 2019, the Ministry of Industry and Information Technology issued a 5G commercial license to China Telecom, China Mobile, China Unicom, and China Radio and Television. China officially entered the first year of 5G commercial. The three major operators in my country have become four. However, the current 5G of China Radio and Television has not yet been officially released, so my country's communication market is still the three companies of telecommunications, mobile and Unicom.

The three major operators have a serious physical quantity, and China Mobile has a unique family. In terms of profit: In 2021, China Mobile's net profit reached 116.1 billion yuan, while the two net profit of Telecom and China Unicom was only 32.255 billion yuan, which was not one -third of China Mobile. In terms of revenue: In 2021, China Mobile's annual revenue reached 848.3 billion yuan, Unicom's operating income was 327.854 billion yuan, and telecommunications were 434.16 billion yuan. The total revenue of Telecom and Unicom was 762 billion yuan, 86.3 billion yuan less than mobile.

Is it possible to merge?

1. The actual situation of the industry:

The market share of the three major operators in my country is seriously unbalanced, and China Mobile is unique.

China Mobile's share in mobile users, 5G package users, and broadband users are all first, of which: 961 million mobile users, a share of 58.1%; 243 million broadband users, a share of 47.6%; 5G package users 401 million users of 401 million users. Households have a share of 52.9%.

In some parts of the south, China Mobile's market share is even as high as 75%, while China Unicom's market share is less than 5%. China Telecom's market share is 15-20%. It has been developing in the long run. This situation is difficult to improve. In other words, it is difficult to reverse this situation by market behavior. This is not a strong ability to lead, a group of employees can solve the work desperately.

2. In terms of communication history:

my country's communication industry is divided into combination, decomposition, integration, reorganization, and mixed reforms occur multiple times. So it is possible to merge again. The development trend of the foreign communications industry is also merged, such as T-Mobile, the third and fourth largest operator in the United States, and Sprint merged into New T-Mobile. The communications industry is no longer a rising industry, and mergers are inevitable trends.

Consolidation can reduce costs and reduce costs, so that communication companies have more room for speed -up and fees. Only to provide more preferential prices for society, and this is also one of the driving forces to promote the digitalization of the industry. On the other hand, communication companies can improve employee treatment and attract better talents to join the communications industry.

3. In terms of equity

China Unicom and China Telecom are listed companies, and China Telecom has also been registered with A shares.

Although this aspect is complicated, there is no absolute difficulty. In fact, there are many precedents for merging the two listed companies, such as the merger of the Casino and the North Car to become a CCRC. Since Sino -Chinese and Chinese chemicals can be merged, natural China Unicom and China Telecom can also merge.

4. Network aspect

In the past, some people suggested: If merging, the new company will have two 4G networks with high overlap. What should I do if the resources caused? How to solve the problem of operating costs?

In fact, this problem is easy to solve. China Telecom and China Unicom have carried out sharing work on the 4G network. The two parties shared 4G base stations up to 660,000 stations, and they are still increasing rapidly. In terms of 5G networks, the two parties have opened a total of 690,000 base stations of 5G base stations, and the largest 5G co -construction sharing network has been built in the world.

5. Substitutional resettlement.

China Unicom has a number of employees of about 242,000, and China Telecom has a number of employees about 278,900. The employees of the two companies have more than 500,000. At the beginning of the merger, the staff will definitely accept it and gradually optimize it. This is a long process, just like the merger of China Unicom and Netcom in the past.

When will merge?

Judging from the report of China Unicom, the company's performance has been steadily improved in recent years, which is the result of the efforts of all leaders and employees of Unicom. It is worthy of praise! However, from the perspective of the industry, the gap between China Unicom and mobile has not been significantly reduced.

In summary, the mixed reform of China Unicom is the last attempt before the merger. If you do not meet the expectations, the merger will be on the agenda.

Personal views are inevitably biased.