Recently, a Luoyang Unicom night sleep 5g base station news caused heated discussion.
According to a public report, recently, Luoyang Branch of China Unicom has started the deep sleep function under no-load state at different time periods for three different base station radio frequency unit equipment (AAU) that have been connected to the network. For example, the deep sleep function of AAU is turned on in different periods of time for the site that is undergoing single station verification (21:00-9:00 the next day).
Sleep at night can be understood as a kind of elastic adjustment, which is to reduce power consumption and save power. China Tower told interface news reporters that at present, the average power consumption of a 5g outdoor base station single tenant is about 3.8kw, which is more than three times that of 4G base station. The annual comprehensive electricity charge of a single 5g base station single tenant is about 23000-30000 yuan / year.
According to the prediction of China industrial information network, the number of 5g base stations will eventually be 1-2 times of 4G base stations, reaching 5-6 million. Based on this, it is roughly estimated that by then, the expenditure of operators will be between 115 billion and 180 billion yuan, while the total profits of the three operators in 2019 will be only 138.4 billion yuan. If the conditions have not changed, then after 5g is launched, the cost of electricity may overdraft all the profits of operators.
5g construction is stepping into the stage of large-scale expansion. The high electricity cost is undoubtedly a major burden for operators at this time. On the other hand, 5g revenue is still in the early growth stage, the business model of industry application is still in exploration, and 5g construction needs to reduce cost and increase efficiency.
The annual electricity charge of a single 5g base station exceeds 20000 yuan
Chinas telecom infrastructure construction and operation mainly adopts the mode of China Tower building tower and power transmission construction infrastructure supporting facilities, and the three main operators of China Mobile, China Unicom and telecom rent tower, install equipment and carry out network operation. The operation electricity fee is paid to the power department by the tower operator on behalf of the operator. According to the official of China Tower, after the opening of 5g base station, the electricity cost is much higher than the tower rent, and the electricity charge of 5g base station has become an important burden of the industry.
Due to the change of 5g base station form - from BBU (baseband processing unit) + RRU (radio frequency processing unit) + antenna in 4G era to AAU + du (distribution unit) + Cu (central unit) in 5g era, the power consumption of base station itself has been greatly increased. Secondly, because 5g uses higher frequency band, the coverage of outdoor macro station is smaller than 4G.
Therefore, to meet the same coverage target, the deployment density of 5g base station will be 3-4 times of that of 4G. According to Yang Fengyi, deputy director of China Telecom Technology Innovation Center, the overall energy consumption of 5g mobile network will be more than 9 times that of 4G.
In addition, because 5g base station construction often needs to occupy a certain proportion of the land of other owners, such as residential quarters, parks, complexes, and communication base stations in office buildings, in the past, there were more social capital investment in the construction of power supply and distribution facilities in addition to power grid enterprises, forming the red line of power supply and distribution facilities, so it can only be connected to the power consumption of the main body of power supply.
For a long time, China Tower told interface news reporters that the transfer of power supply has been one of the main factors causing high electricity price. The average price of power transfer has reached 1.12 yuan / kWh, which is more than 1.8 times of the average price of direct power supply. Especially in the densely populated urban areas covered by 5g construction at present, the proportion of sub regional transfer power stations has reached more than 50%.
According to the data provided by China Tower, the average power consumption of a single tenant of a 5g outdoor base station is about 3.8kw, which is more than three times that of a 4G base station. The annual comprehensive electricity charge of a single 5g base station single tenant is about 23000-30000 yuan / year.
According to the calculation of relevant institutions, by 2022, Chinas 5g network construction scale will reach at least 2.5 million stations. At that time, the energy consumption cost of 5g network of the three operators will at least reach 57.5-75 billion yuan per year.
Yang Fengyi said that in 2018, the mobile base stations of the three operators consumed about 27 billion kwh of electricity, with a total electricity charge of about 24 billion yuan. Under the same coverage (completely replacing the current base station), the energy consumption of 5g network will reach 243 billion kwh, and the electricity bill will reach 216 billion yuan.
According to this calculation, the total profit of the three operators in 2019 is only 138.4 billion yuan. If the revenue of 5g does not increase significantly, the electricity cost will overdraft all the profits of operators after 5g is launched.
According to a report by the prospective industry research institute, 2020-2023 will be the main investment period of 5g network.
At present, the construction progress of 5g base station is accelerating. According to the latest data released by the Ministry of industry and information technology, by the end of June, more than 400000 5g base stations have been built and opened by the three major operators in China, and the average number of new base stations opened each week in recent years exceeds 15000.
According to the latest data disclosed in the sustainable development report of China Mobile, China Telecom and China Unicom, the power consumption of the three operators in the whole year of 2019 is 61.711 billion kwh, which is about 9% higher than that in 2018.
China Telecom said in the report that the rise of total power consumption in 2019 mainly includes the expansion of mobile network scale, 5g network construction and the rapid growth of IDC business.
On the other hand, from the perspective of revenue, industry insiders told interface news reporters that the business model of industry application is not mature from the perspective of foreign 5g network applications. It mainly relies on existing services such as high-definition video to promote the growth of public user traffic, and the single user income (Arup value) has not significantly increased. 5g business is difficult to become a new business growth of telecom enterprises in the short term Point.
Affected by the epidemic situation, the 5g mobile phone terminal market of TOC has also shrunk. According to the statistics of IDC, a well-known global market research organization, by the end of June this year, Chinas cumulative 5g mobile phone shipment has exceeded 67 million. According to the latest data from the Ministry of industry and information technology, 66 million 5g mobile phones have been connected to the Internet by the end of June.
On the one hand, the rapid expansion of 5g base station construction, on the other hand, is still exploring the business model. Operators are now facing the pressure of operating costs brought by the construction.
In the latest financial report of the first quarter disclosed by the operators, the net profit of the three major operators showed a decrease year on year. According to the financial report, in the first quarter, China Mobiles revenue decreased by 2%, net profit decreased by 0.8%, and sales revenue decreased by 34.9%; China Telecoms revenue increased by 0.7%, net profit decreased by 2.2%, network operation and support cost increased by 9%; China Unicoms revenue increased by 0.9% and net profit decreased by 13.8%.
China Mobile analyzed in the financial report that the main reasons were the poor sales of C-terminal mobile phone terminals and Internet of things terminals due to the impact of Xinguan epidemic in the first quarter, as well as the increase of 5g related construction costs.
To get rid of pains, we need to reduce costs and increase efficiency
The Daily Economic News quoted industry insiders as saying that in the initial stage of upgrading any generation of network technology, high operating costs are bound to suffer. With the rapid construction and coverage of 5g network, it will inevitably lead to the rapid growth of 5g users, and the problems of low network utilization rate and business income not equal to electricity expenses will be solved.
Although at present, the proportion of effective 5g users is still low in the early stage. However, it can be seen that 5g continues to expand in the proportion of terminals, and the trend is better.
As can be seen from the IDC data report, compared with 4G mobile phones, the proportion of 5g mobile phone shipments is increasing month by month. At the same time, the number of 5g package users announced by the three operators also exceeded 100 million in July, and the number of terminals and packages was in a steady growth period.
In addition, as the domestic epidemic situation tends to stabilize, the domestic mobile phone market and the Internet of things market are gradually warming up. In early August, the latest data released by canalys, a market research company, showed that Chinas mobile phone market began to bottom out in the second quarter, with a quarter on month increase of 25% compared with the first quarter. At the end of May, the number of cellular Internet of things users of the three operators reached 1.097 billion, up 44% year-on-year.
The market recovery is releasing the potential of 5g revenue side. In terms of construction cost, the problem of energy consumption and electricity charges is being explored by the tower, operators and governments at all levels.
At present, the governments of Shandong, Liaoning, Shanxi, Jiangsu, Guangdong, Hainan and other provinces and cities have issued policies to support 5g construction. By promoting the meter reading to the home of base station power supply, reducing the power consumption cost, increasing the financial support and arranging the special subsidies for 5g construction and operation, the operators can reduce the difficulty and cost of electricity consumption.
On the one hand, the iron tower company said to the interface news reporters that on the one hand, the iron tower actively strives for preferential policies for electricity consumption to reduce the power cost of the base station; it also promotes the conversion of power supply to direct power supply, and plans to complete 50% of the transformation station site transformation by 2020, which can save nearly 1.5 billion yuan of electricity every year; on the other hand, from the aspect of equipment, it has launched the solution of peak load shifting and valley filling to make full use of the price difference between peak and valley, In order to reduce the electricity cost, we should introduce clean energy such as wind, light and hydrogen to reduce the cost of electricity; we should strengthen the rectification of stations with abnormal electricity charges and put an end to the leakage of electricity charges.
After the short-term pain, terminal manufacturers, channel providers, content providers and operators will identify the value orientation, actively explore new industrial models, and release the huge potential of 5g.
Source: responsible editor of interface news: Wang Fengzhi_ NT2541