Mobile finalized 18 virtual operations Partners in early March or formal licensing

At the beginning of March or will be officially licensed to profit first 1 billion it times reporter Li Dong after the Chinese telecom, China Unicom's partners to obtain the Mobile Business resale license, China Mobile also at the end of February and the relevant enterprises to reach a resale agreement. Reporters from a number of licensed enterprises to understand that there are already 18 enterprises in and China Mobile signed an agreement, the earliest in March issued licences. Virtual Operator Development Research Center Secretary General Shong revealed that the 18 companies in the agreement with China Mobile, will be reported to the Ministry of Industry approval at the end of this month. The licence is about to settle, but the business of reselling and virtual operators will soon usher in a new problem: who should implement the supervision of virtual operators? Wholesale to set the package after how to design pricing? How big is the profit space and size? Package design independent Design Package price is also high from the wholesale model, China Telecom to resell the existing package mode, the Chinese unicom using the business resource pool model. In other words, telecom is to the existing package to 40 percent wholesale to the reseller. And Unicom is the voice minutes, the flow of 60 percent wholesale to the resellers, by their own customized packages. The Ministry of Industry and Telecommunications Institute, a study of virtual operators business experts told reporters that in the former income discount mode, when users do not use the package within the business volume, the user's remaining consumption of profits will be the operator back. But in the latter's business volume discount mode, the business consumption surplus belongs to the resale enterprise all, which means that the virtual operator design package has the space to transfer. Telecom is selling the finished bread, unicom is selling flour raw materials, resale enterprises to combine their own business, design different types of packages, in 40 percent-60 percent wholesale price based on the realization of a premium. The person said. According to media reports, virtual operators in the formal operation, the tariff will be divided into two categories. One is the existing package, package content, tariff standards and operators of the existing package is exactly the same; one is the custom set meal, its content composition and the tariff standard and the operator existing packages exist a certain gap, by the virtual operator independently. However, a virtual operator of the marketing department told reporters, although the agreement with the operator, which stipulates that the resale enterprises can be based on market demand for their own design packages, that is, the so-called group mode, but we have done the design, on the basis of existing wholesale prices, Custom set packages are difficult to lower than the existing standards of the three operators. Regulation to ensure interconnection between the resale of the third batch of licences issued by the virtual operators of the market to basically determine, pricing, regulatory issues will become increasingly prominent. Resale prices are largely driven by operators and resellers, and cannot be relied on to stimulate the market by government pricing. A virtual operator at the Ministry of Industry said. In terms of price, the resale enterprises and operators should be complementary and cooperative equal business relations, but in the user Information protection, real name, network information security, etc., will be the Ministry of Industry and other departments to carry out a full range of supervision and management, the focus is on the virtual operators to maintain the interconnection of the business, A good news is that the entire policy environment is also gradually being untied. Recently issued the NationalIn its decision to abolish and decentralize a group of administrative examination and approval items, the hospital has abolished the approval of the Telecommunication Service fee standard, the basic telecom and the trans-regional value-added telecom business license. The cancellation of the approval system for the tariff standard of telecommunication business means to give the baton of price-setting to the market. Shong that the cancellation of the approval system also gives the virtual operator autonomy, the package model designed by the resale enterprise, no need to report the approval of the Department and other departments, this is tantamount to shortening the market flow, very conducive to virtual operators to use packages, tariffs and other means to carry out competition. Profit in the first year is hopeless from the current domestic operators high terminal subsidy and Channel Commission, virtual operators in the first year, basically impossible to achieve profitability. A Ministry of Research experts pointed out that from the model of foreign virtual operators, basically within 3-5 years to achieve positive cash flow, 5-7 years to achieve cumulative profits. and 40 percent wholesale price to calculate the domestic virtual operators market space, in the end of the resale must reach 800,000 users, ARPU value of more than 60 yuan/month, to achieve scale profitability. Another phenomenon is that, as more virtual operators to enter the market competition, to achieve large-scale profitability, the threshold will be further improved. In the third year, the virtual operator will face a peak in capital demand, given the margin and prepaid wholesale fees that the base operator collects. If the end of the pilot to reach 1 million users, the number of wholesale prepaid business and user charges, as well as the end of the subsidized inventory, at least need to 1~2 a billion of capital reserves, which is still in the fast pace of capital return under the premise. If you want to become a large virtual operator, but also in human resources and other costs continue to invest, need to 5~10 billion capital guarantee. said the person.