Internet settlement fee to be reduced by 30% Unicom Telecom will lose billions of

Phoenix Science and technology news October 28, the Ministry of Communications Development, Deputy Director Shang in Friday in the Ministry of Industry and the department of routine News, said that the next five years, the Ministry of Industrial and Information technology will be 30% annually to reduce the price of the Internet Exchange Center, and constantly for the Internet to create a better policy environment. "And at the beginning of this year, the original per g bandwidth of 1 million yuan monthly settlement price reduced to 600,000 yuan." Shang said. Prior to this, the Ministry of Industry related officials have said, "Over the years, the network between the settlement costs too high restrictions on the interconnection between the network, the future, the Ministry of Industry led the gradual reduction of this cost, so that operators focus on products and services, which will create a good environment for internet development." It is understood that the Internet settlement costs refers to the Internet network interconnection costs, because China Telecom and Chinese Unicom basically mastered all the mainland overseas Internet nodes, so the Internet settlement costs are mostly one-way settlement, that is, China Mobile, railcom and two operators to China Telecom and Unicom to pay. Therefore, according to the Ministry of 30% of the annual reduction of Internet settlement costs of the requirements, China Unicom and the Chinese telecom in the Internet settlement costs of income has a huge impact. By calculation, five years later, Internet settlement costs are largely negligible, which means that at least billions of of the year's Internet settlement costs for China Telecom and Unicom will disappear. Insiders said that the 2011 "China Telecom and Unicom broadband Monopoly case" may be the incentive to adjust the Internet settlement costs, at that time, including tietong many small and medium-sized broadband operators have said to China Telecom and the Chinese unicom to grasp the Internet resources, charging higher internet settlement costs dissatisfaction. However, at the same time as the Ministry of Industry demand to cut the annual Internet settlement costs, the market rumors that the ministry is brewing a new policy to the three major operators of business licences and settlement tariffs adjustment, and may have a huge impact on the income and profit structure of the companies. It is reported that the policy adjustment is mainly focused on allowing China Mobile to operate fixed broadband market and reduce the mobile-mobile network between Unicom and Telecom to move the settlement standard two. After adjustment, the settlement fee paid by China Unicom and Chinese Telecom to China Mobile is halved, that is, 0.03 yuan/minute, while the settlement fee paid by mobile will maintain 0.06 yuan/minute. According to the media, in accordance with the plan, the annual mobile to China Unicom and telecommunications network settlement of expenditure, will increase more than 12 billion yuan per year. In this connection, Jefferies Securities issued a report that, because of China Mobile user base is large, the Chinese unicom and telecom are expected to save 5.7 billion yuan and 7.6 billion yuan between the cost of the network, Unicom net profit will have 27% uplink space, and the telecom net profit has 29% upward space. Some analysts believe that the ministry to reduce the Internet settlement costs, to China Mobile fixed network licensing is a balance between the adjustment of the net settlement costs. It is intended to break the monopoly advantage of Unicom Telecom and China Mobile in the field of fixed network and mobile respectively.