In the 10 months of officially launching 4G business, China Unicom lost 12 million mobile users. Today, Wang Xiaochu, the chairman of China Unicom, who has just taken office for three months, has launched the 4G+ strategy and placed the hope of turning over on technology upgrades.

On December 8, China Unicom held a "Wo 4G+" conference in Beijing. Wang Xiaochu said that he would "go to the next step." 4G+ is an upgraded version of the existing 4G network that can provide 300M speeds, at least double the 4G rate.

Before Wang Xiaochu, China Unicom rarely looked at its own strategic mistakes. At a media communication meeting in August this year, China Unicom attributed a large number of user losses to policy environmental factors such as “slowing industry growth” and “marketing cost reduction”. However, under the same environmental factors, the growth of telecom and mobile users is significantly better than Unicom.

“Before the end of 2014, the inspection team was stationed in Unicom, the group was busy with the process reorganization, and many of the rights were collected and returned to the group.” A senior executive of Unicom told the 21st Century Business Herald, “There is no indication that the marketing, marketing, and channel strategies need to be spent. The provincial company leaders did not dare to make decisions, and many of them were put on hold. But mobile and telecommunications were able to throw money out through flexible work."

When China Mobile and Telecom invested heavily in 4G, China Unicom's 4G deployment was almost stagnant. To a certain extent, China Unicom hopes to compete against 4G through high-quality 3G networks, and even many provinces are mainly investing in broadband construction with less money.

In the first three quarters of this year, China Mobile's total number of users was 823 million, a net increase of 16.27 million, 4G users reached 248 million, and the net increase exceeded 157 million. China Telecom's total number of subscribers was 194 million, a net increase of 8.72 million. The total number of users of China Unicom is 287 million, a net decrease of 12 million. The number of China Mobile 4G users far exceeds that of Telecom and China Unicom.

On December 8, Wang Xiaochu said at the press conference: "Accelerating 4G development and keeping pace with the industry is the most important and most important strategic move for China Unicom to implement its focused strategy."

At the beginning of the change of postal service, Wang Xiaochu began to prepare for the joint development of 4G services with China Telecom, and jointly built and shared 4G base stations to counter the mobile movement. Recently, China Unicom has initially formulated the "Recommendation for Sharing of China Unicom and Telecom 4G Networks", and proposed resources and technology sharing paths including base stations, computer rooms, transmissions, and the two major groups have started preparations for the establishment of group, provincial and municipal levels. A special working group guarantees the development of in-depth cooperation. This cooperation has greatly eased the dilemma of the cash flow of the two major operators.

In addition to network construction reforms, China Unicom has also launched a huge subsidy strategy of more than 55 billion. At the press conference on December 8, China Unicom announced that it will introduce a total subsidy of 45 billion yuan for Unicom users in 2016 through subsidy policies such as “send phone bills to mobile phones”. At the same time, for channel operators, China Unicom will provide terminal rewards and terminal contract number awards. The total amount for 2016 is estimated to be 10 billion yuan. In addition, China Unicom will also increase strategic model subsidies for mobile phone manufacturers. The subsidy standard is 10 yuan to 30 yuan per unit, and the total subsidy is 1 billion yuan to 2 billion yuan.

At present, the State-owned Assets Supervision and Administration Commission clearly requires operators to reduce marketing expenses. China Unicom's heavy-funded strategy really needs great efforts. After investing heavily, China Unicom hopes to sell 150 million terminals in 2016, including 80 million terminals supporting 4G+, to reverse the 4G business.

In order to improve terminal sales efficiency, China Unicom has also changed the long-standing customization process. Previously, mobile phone manufacturers needed to install the standard production mobile phone proposed by China Unicom. However, after proposing a "personalized" customized solution and a unique crowdfunding production and sales model for 4G mobile phones, China Unicom further devolved the market decision-making power to mobile phone manufacturers. In the recent two crowdfunding campaigns, China Unicom achieved sales of 4 million and 5 million mobile phones respectively.

In addition to China Unicom, telecommunications and mobile have also set 4G+ as the key strategy for 2016. This time, the three operators started at the same time, and Telecom and China Unicom are expected to narrow the gap with mobile.

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