China's mobile communication industry has been developing very quickly. So far, the number of mobile communication subscribers has exceeded 35 million and is expected to reach 45-50 million by the end of 2000.

China's mobile communication industry has been developing very quickly. So far, the number of mobile communication subscribers has exceeded 35 million and is expected to reach 45-50 million by the end of 2000. The amount of State investment made each year in the mobile communication industry is larger than that for the program-controlled switchboard, to reach 60 billion yuan. But for a long time this field has all along been monopolized by foreign transnational corporations.

In 1998, the good beginning made by Datang and Huawei companies in developing the GSM system equipment and its successful pass of the fixed production type appraisal organized by the Ministry of Information Industry indicate that the home-made GSM system equipment has taken a solid step forward in industrialization. In 1999, the GMS system equipment independently developed by Huawei and Zhongxing firms have been granted in succession licenses by the Ministry of Information Industry and entered the development stage of industrialization, forming the situation of group breakthrough. At present, the home-made GSM system equipment has been widely used in more than 10 provinces, municipalities and autonomous regions and has undertaken the construction task of the nation's mobile key intelligence network and the major information network.

With the entry of home-made GMS system into the market, the price of the mobile communication equipment has declined rapidly. For example, in 1999, the price of the imported equipment generally dropped at an average 30 percent.

The newly-rising Chinese-made mobile communication industry could not have made such rapid breakthrough without the support of the operational department. With the help of operational departments such as the Mobile Telecom Bureau, the homemade mobile communication equipment has obtained many valuable opportunities for experiment and application. In Hebei and Guizhou provinces, Inner Mongolia Autonomous Region, and Shanghai Municipality, the national equipment was opened to experiment bureau in succession.

In April 1998, the former Mobile Telecom Bureau of the former Postal and Telecom Ministry signed a contract with Shenzhden Huawei Co.for the first-phase project of the mobile communication No.7 major information network. Because it was widely applied in major networks for the first time, it brought great pressure on the General Mobile Communication Bureau.

In the ensuing months-long work of installing, debugging and disconnecting and connecting operation, the home-made STP equipment was technically advanced and excellent in the stability of the product and superior to foreign equipment taking part in the construction.