IoT and TD Achieve a Win-Win

The speed of TD-SCDMA (hereinafter referred to as "TD") construction in our country has astonished its global counterparts. Starting from the issuance of 3G licenses in 2009, nationwide network coverage was achieved in just one year. Currently, meticulous network planning and optimization have brought TD network's core indicators close to 2G levels, and terminal and application development continues to achieve new breakthroughs. However, while TD network construction has achieved impressive results, the revenue it brings to telecom operators remains very limited. "High investment, low return" will hinder the healthy development of TD. Against the backdrop of the "Two Industrializations" integration, the development of the Internet of Things (IoT) has received widespread attention and strong support from the state and society. IoT can be implemented based on TD, and at the same time, TD can leverage the momentum of IoT development to continuously expand its market and achieve large-scale applications.

After more than two years of construction, China Mobile's TD network now covers all cities at or above county level nationwide, with the number of users exceeding 20 million. As of July 2011, the TD terminal product library accumulated 630 products, including 317 mobile phones. From January to July, a total of 15.235 million TD terminals were sold nationwide. China Mobile's fifth phase of TD centralized procurement has also been launched, with the bidding scale for this phase expected to be around 400,000 carriers.

It can be said that TD network construction has achieved a phased victory. However, the revenue generated by the TD network for operators still cannot match the investment. Hou Ziqiang, Secretary-General of the Chinese Academy of Sciences and Director of the CAS Information Consulting Center, pointed out that although China Mobile's 3G user base has exceeded 20 million, the number of truly active 3G users might be much smaller. A large number of 3G users remain on 2G networks, primarily using traditional services such as voice and SMS, and not utilizing many data services. This makes it difficult for ARPU (Average Revenue Per User) to significantly increase.

How can the problem of "high investment, low return" be solved? In today's immature individual user market, vigorously expanding into the enterprise market is an inevitable choice for operators. On one hand, compared to individual users, enterprises have more capital. On the other hand, driven by their own development considerations, enterprises' demand for informatization is becoming increasingly urgent. Therefore, the enterprise informatization market provides a stage for TD to fully demonstrate its capabilities.

Enterprise informatization is a major application area for IoT, and also a new frontier where TD can play a significant role. In conjunction with the development of IoT, launching comprehensive, tailor-made solutions for various industries is the breakthrough point for TD to enter the enterprise market.

TD-based enterprise application systems can serve as a platform. By leveraging its seamless coverage and open service interfaces, it can provide broadband, multimedia, and mobile network support for industrial IoT applications. At the same time, TD's optical fiber network can become the network layer for IoT. Furthermore, in the future, various TD terminals equipped with sensors can be developed as needed for applications, realizing the functions of the perception layer.

Simply put, TD's application in various industries is the concrete practice of IoT. Bringing IoT from concept to practical application allows people to understand what IoT is and what it can bring. At the same time, the strong support from the state for IoT also provides an excellent opportunity for TD's widespread application across various industries. TD and IoT will achieve a win-win situation.

It is worth noting that various industry players, including China Mobile and Datang Telecom, are actively developing IoT solutions based on TD technology.

Of course, for IoT and TD to ride the wave of enterprise informatization, they must not act blindly but instead choose scientific development strategies. The value of TD must be realized through the services and applications it provides. The acceptance of TD systems in industries depends on what applications they can offer users and what problems they can solve for them. We must accelerate the development of more TD-based enterprise applications, and develop or customize more TD terminal devices that meet industry needs. Furthermore, all industry stakeholders should actively respond to the national industrial policies promoting and supporting IoT, and collaborate to achieve mutual promotion and common development between TD and IoT.

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