Earlier, the three major operators launched a two-month 5G free experience package in August and September, and then extended it to the end of October. The number of reservations for the operator’s 5G package has also exceeded 10 million people, and this time the official package is finally ushered in. The reporter also learned that the three major operations are conducting internal employee training for the final 5G package new business in preparation for the official implementation on November 1.
On October 29, the insider of the operator exclusively learned the details of the 5G package. The 5G package of the three operators is not less than 128 yuan per month. At the same time, for the first time, the operator adopted the method of pricing according to the Internet speed. China Unicom divided into two 5G network speed grades, and China Mobile divided into three 5G network speed grades. For example, for China Unicom’s 5G packages priced at 199 yuan and below, the Internet speed is limited to 500Mbps, while the speed of 5G packages of 299 yuan and above can reach 1Gbps, and the traffic beyond the package is 3 yuan per GB.
For China Mobile’s 5G Smart Card (Personal Edition), the 5G basic service 5G Internet speed is limited to 300Mbps, the 5G premium service 5G Internet speed is limited to 500Mbps, and the 5G ultra-fast service 5G Internet speed is limited to 1Gbps.
China Mobile’s 5G package introduction Image source: Screenshot of China Mobile’s official website
Why is the 5G package divided according to the Internet speed? An operator insider told the “Daily Economic News” reporter, mainly because “Internet speed is also sold as a product, low-cost low-speed, high-speed high-speed”, similar to the current fixed-line broadband press. The business model of speed selling.
In terms of specific tariffs, for example, China Unicom’s 129 yuan monthly 5G ice cream package includes 30GB of data (10GB of data in the early stage) and 500 minutes of voice calls. The 159-yuan 5G package has 40GB of traffic, the 199-yuan 5G package has 60GB of traffic, and the 299-yuan 5G package has 100GB of traffic, and other packages are available.
Image source: Photo courtesy of operator insiders
The “Daily Economic News” reporter noticed that the threshold for handling the price of 5G packages is obviously much higher than that of 4G packages. However, in the case of the same amount of traffic, the unit price of 5G package traffic is cheaper.
According to the report of Changjiang Securities, the 5G ARPU value (per capita monthly income) after the commercial use of 5G in South Korea has increased by 75% compared with 4G, which has mapping significance for the country.
From the perspective of 5G commercial use in South Korea, the price of its 5G package is between 325 yuan and 740 yuan. The average ARPU value of 5G users has increased by 75% compared with 4G, and the price per GB has dropped to one-tenth of 4G, realizing the operation. A win-win for business and consumers. Changjiang Securities predicts that in order to support the huge investment in domestic 5G networks, after the implementation of 5G packages, the ARPU of domestic operators is expected to increase by 20% in the next three years.
It is worth noting that Beijing and Shanghai have become the cities with the most 5G signal coverage, and cities such as Guangzhou and Hangzhou have also achieved contiguous 5G network coverage. It is estimated that by the end of this year, more than 130,000 5G base stations will be opened nationwide. Today, the Beijing Municipal Communications Administration also disclosed that as of now, Beijing has built a total of 13,014 5G base stations and opened 10,829 5G base stations.
The 5G package has three major characteristics: the 5G package contains more traffic, and there is no price increase for the increase; the 5G package has a faster Internet access rate, which is ten times that of the 4G package; the 5G package is filled with a variety of membership benefits. It also said that there will be discounts for 5G packages in the early stage. As a whole, the price of 5G packages will definitely not be cheap in the first one or two years, and it will drop later. Let’s wait and see.