CDMA First Phase to Be Put into Operation

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Last updated at: (Beijing Time) Tuesday, December 25, 2001

CDMA First Phase to Be Put into Operation

China Unicom, country's No.2 mobile telecom operator has lately announced that the first phase of its CDMA (Code Division Multiple Access) network, which enjoys the largest coverage and the biggest number of subscribers in the world, has been brought to completion at the end of last October as scheduled. It will be put into operation in 31 provinces, autonomous regions and cities throughout China on December 31, 2001.

First phase of CDMA network to start operation

CDMA 1X networks in seven cities completed

Meanwhile, China Unicom said that it has also completed and launched tests on its CDMA 1X networks in seven cities including Beijing, Shanghai, Guangzhou, Chengdu, Hangzhou, Nanchang and Haikou, with a capacity expansion of 100,000 subscribers. China Unicom has also established its contacts with over 10 countries and regions including the US, ROK, Japan, Hong Kong SAR and some other regions, and it will open the CDMA network roaming services to the said countries and regions in succession in the near future.

About the first-phase CDMA network

As reported, with a total investment of RMB 24bn yuan and a capacity expansion of 15.15 million subscribers, the CDMA network at the initial stage will covers altogether 333 cities and regions (including Lhasa) of 31 provinces and autonomous regions throughout China.

Supported with a series of world-advanced technologies, the initial CDMA network may smoothly be upgraded to CDMA 1X network via professional software and equipment. Network tests indicated that the completed CDMA network has many advantages as clear tone, tight connection and high security, less radiation and what not. According to experts, China Unicom's success in the first phase of CDMA network has indicated a good start for the state's CDMA construction as well as laid a solid foundation for realizing the strategic goal of building the largest and best CDMA network in the world.

About China Unicom

China Unicom, founded in 1994, is the second largest telecommunications carrier in China. It is the only service provider licensed in China to offer full telecom service in fixed line, IP phone, domestic toll, international gateway, wireless networks, and data networks. On June 21, 2000, the company raised US$6.3 billion in funds through an IPO offering and became the largest publicly traded company outside of Japan in Asia.

The China wireless market is one of the largest in the world with existing capacity of 85 million lines at the end of 2000 and is expected to grow 30 million lines or more annually. As of March 2001, China Unicom's GSM network has been expanded to approximately 25 million subscribers in more than 250 Chinese cities nationwide. The establishment of CDMA network represents China Unicom's strategic plan to make itself a major wireless service provider in China.

What is CDMA (Code Division Multiple Access )

CDMA is a "spread spectrum" technology, which means that it spreads the information contained in a particular signal of interest over a much greater bandwidth than the original signal.

When implemented in a cellular telephone system, CDMA technology offeres numerous benefits to the cellular operators and their subscribers. The following is an overview of the benefits of CDMA.

1. Capacity increases of 8 to 10 times that of an AMPS analog system

2. Improved call quality, with better and more consistent sound as compared to AMPS system

3. Simplified system planning through the use of the same frequency in every sector of every cell

4. Enhanced privacy

5. Improved coverage characteristics, allowing for the possibility of fewer cell sites

6. Increased talk time for portables

7. Bandwidth on demand

COMPARISON

	AMPS	GSM	CDMA
Speech/Service quality	Fair to poor speech quality due to inherent analog technology	good, improved speech quality with planned Adaptive Muti Rate codec	excellent, system is able to choose the best signal, i.e. best audio at all times and reduced drop out rates
Coverage: maximum range (nominal)	70 km	35 km (70 km with "cell extension")	55 km (110 km with "cell extension")
Functionality	some telephony services	leading edge handset design, includes advance telephony features	difficult to upgrade system, but offers dual mode handsets, similar value added services to GSM
Wholesale pricing of handsets	$100	$200 - $300	higher cost, estimate $500
Overall equivalence to Amps	N/A	limitation is in terms of coverage to rural areas	equivalent or or superior (except for extreme coverage range form a transmitter)

By PD Online staff member Huang Ying

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