China to Spend US$70 billion to Speed up Internet in Rural Areas

Published By : 22 May 2015 | Published By : QYRESEARCH

The government of China stated today that it would invest US$70 billion in order to speed up the Internet and expand the broadband access in rural areas in the country by this year, as the nation tries hard to fuel the growth by setting free the potential of its over 648 million web subscribers.

According to the guidelines issued by the central cabinet of China, the nation plans to spend over 430 billion Yuan that is US$70.4 billion, in the year 2015 and over 700 billion Yuan that is US$112.90 billion, in 2016 and 2017 on the Internet infrastructure. The guidelines also stated that China will speed up building high-speed broadband networks and enhance the Internet access in over 14,000 villages by the end of the year 2015, according to the state-run Xinhua news agency.

By 2017, the average speed of cable broadband for users in the most important cities of China will be raised upto 30 Mbps, which is over triple of the existing speed, while that in the smaller cities will be increased upto 20 Mbps. The telecom industry will be opened and competitiveness of the market will be promoted through policies that include a pilot strategy for broadband services in 2015, according to the guidelines.

The State Council also promised to expand the 4G network in order to cover the whole of China by 2017. The council urged telecom operators to enhance the services and reduce charges for the Internet usage. Many of the users blame the slow speeds of the Internet in China to immense firewall intervention in controlling the content on the web in order to remove anti-government materials.
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