China Unicom gets licence to provide direct-to-phone satellite connectivity services
What's the story
China has granted a satellite mobile communication business license to China Unicom, a major telecom giant. The Ministry of Industry and Information Technology (MIIT) announced the development on Monday. The license allows China Unicom to offer services like direct-to-phone satellite connectivity and expand its use in emergency and maritime communications. This is a major step toward China's plans to provide commercial satellite services on a large scale.
Market impact
Ministry says move will enhance supply chain resilience, security
The MIIT said that the license issuance would create a moderately competitive market and make internet services more accessible to ordinary users. "Concurrently, coordination between telecoms enterprises and entities across the satellite mobile communications industry chain will tighten," the ministry added. This, it said, would help drive industrial transformation and upgrading while enhancing supply chain resilience and security.
Regulatory changes
First license issued since guideline release in August
This is the first license MIIT has issued since it released a guideline late last month. The guideline urged telecom operators to use low-orbit satellite internet to extend high-speed data services beyond voice and text messaging. The announcement also comes after China Unicom launched four low-orbit satellites near Rizhao city in Shandong province in late August.
Technological advancement
Launch included China's first low-orbit satellite with IoT capabilities
The launch included China's first low-orbit satellite with advanced narrowband Internet of Things (IoT) capabilities. These capabilities provide low-power connectivity to IoT devices, marking a major leap in the country's development of low-orbit satellites. This technological advancement is part of China's larger strategy to enhance its satellite communication services.