Triple network convergence in China is expected to induce investment and consumption totaling about 688 billion yuan (about US$102 billion), according to a recent Digitimes Special Report titled "Network convergence in China: Government policy and market effects."
The report indicates triple network convergence will stimulate development in the equipment manufacturing industry and information services industry, to the tune of 688 billion yuan of investment and consumption in the next three years, including 249 billion yuan for the construction of the IT service system for video content and 439 billion yuan for IT services and final end-user consumption. It will also create 200,000 job opportunities.
The Chinese government has actively been pushing for the convergence of the country's three big networks - the Internet, telecom networks, and TV broadcasting networks - via various measures, most notably through the Triple Network Convergence Policy it laid out early in 2010. While the Triple Network Convergence Policy reiterates many government policies set out previously, one area that is expected to have significant effects on the market is the government's step to grant permission for TV broadcasting firms and telecom carriers to enter and do business in each other's realms.
This Digitimes Research Special Report examines China's Triple Network Convergence Policy from a macro and micro point of view. In addition to outlining triple network convergence details, Digitimes Research analyzes the effects the promoted policies will have on players in China's telecom and broadcast industries.
The report also highlights the business opportunities and challenges triple network convergence will have on the development of services such as broadband, IPTV, connected TV, mobile TV, and future physical network infrastructure, among other areas.
Network convergence in China: Government policy and market effects