On June 19, the three-day Qingdao Summit of Leaders of Multinational Corporations opened in Qingdao, Shandong. The theme of this summit is “Multinational Corporations and China”, focusing on the reconstruction of industrial and supply chains in the post-epidemic era, the implementation of the Regional Comprehensive Economic Partnership (RCEP), and the promotion of institutional opening up.
As a representative of multinational company leaders, Qualcomm Meng Pu, chairman of the company’s China region, also attended the summit, and during the meeting accepted an exclusive interview with China Business News on 5G applications and investment in China. Meng Pu said that in the past two years, Qualcomm has been committed to participating in and promoting the application and development of 5G in China, hoping to spawn more 5G application scenarios. Qualcomm is optimistic about the steady development of China for a long time and will insist on long-term investment in the Chinese market.
The following is the main content of this interview:
China Business News: Thank you Mr. Meng for accepting our interview. Let’s talk about the entire 5G application today. You once mentioned that 2019 is the first year of 5G, so what is the current situation from the first year of 5G to the three years of application development?
Meng Pu: The development of 5G in China is very good, and after 3 years of commercial use of 5G, all the achievements in China are really remarkable. I think there are several aspects:
We used to have a saying that “3G catches up, 4G runs in parallel, and 5G leads.” Therefore, in terms of several levels, the first is that the country will issue 5G commercial licenses. When 3G and 4G China issues commercial licenses, it is about 4 to 6 years later than the major global markets. 5G is the same as all other markets in the world. Synchronous – Released in 2019. This gives the industry an opportunity to open industry applications at the first time. Then on the operator’s deployment network, the entire industry has also done very well. In particular, what I just mentioned is that China will issue licenses for the first time in 2019. In addition, in 2020, China proposed a “new infrastructure” plan, and the number one “new infrastructure” is 5G. So it can be seen that the development of 5G in China is very fast. According to the latest data from the Ministry of Industry and Information Technology, by the end of April, China had built more than 1.6 million 5G base stations, accounting for more than 60% of the world’s total 5G base stations. So we are definitely at the forefront of the world in terms of scale, including 5G applications. In terms of the number of users, it has also developed very fast. Now there are about 520 million 5G mobile terminal users in China. It can be seen that 5G is developing rapidly in China, and China’s development has also led to the rapid development of 5G in the world, so I think 5G has developed very well in the past three years.
Yicai: In recent years, we have seen that the new generation of information technology is booming, and the paradigm changes brought about by various aspects are actually very profound. From the perspective of application scenarios and industries, what new developments have occurred? Variety?
Meng Pu: 5G has brought technical and revolutionary changes. As a brand-new universal connection platform, it has several characteristics. One is large bandwidth. 5G is much faster in transmission speed than before. Its delay is also relatively short, and it can realize various industrial applications, especially industrial applications, which cannot be realized in 4G or previous Wi-Fi environments. When we mention the intelligent interconnection of all things, we cannot do without the Internet of Things as the foundation. The Internet of Things needs to accommodate many connections in a unit area at the same time, which can only be realized in the 5G environment. Compared with 4G, the large bandwidth of 5G can support more new application scenarios. Not only consumers can surf the Internet faster and download more content per unit time, it also supports more new applications. The applications of the Metaverse, XR, AR, and VR that you are talking about now cannot be supported by 4G. Only the large bandwidth of 5G can be realized now.
In the field of industrial applications, the country has also been promoting 5G to enter and empower thousands of industries. In 2021, ten departments including the Ministry of Industry and Information Technology and the National Development and Reform Commission issued the “5G Application “Sail” Action Plan (2021-2023), and during the period from 2021 to 2023, promote the application of 5G in 15 key industries, including 5G + intelligent mining , 5G + smart port, etc. In the past two years, we have also been participating and promoting, enabling 5G to be applied to different industries and spawning more scenarios. This will not only enable consumers to experience the benefits of 5G, but also achieve more economic benefits through 5G empowerment.
Yicai: In your opinion, in the process of integrating with the industry, what key points are you stuck on? What is the reason for the core breakpoint? and what kind of solution do you have?
Meng Pu: I think the integration of 5G and other industries requires a process and requires everyone to learn from each other. Because in the traditional communication industry, most of the manufacturers or individuals promoting 5G are not familiar with the specific applications in various industries. Therefore, they don’t have much experience on how to use mobile communication technology to make their work more efficient and reflect economic value, so they need to work together across different industries.
For example, last year Qualcomm cooperated with the Wuxi Municipal Health Statistics Center, Wuxi Municipal Emergency Center and China Mobile Wuxi Branch to cooperate in the “5G Smart Emergency” project. There are many ambulances in every city. The traditional method of ambulances is to take patients to the hospital. The hospital basically needs to diagnose patients from scratch. Now, the project has been able to start the inspection of the patient’s vital signs on the ambulance, and at the same time, the data is quickly transmitted to the data center of the Wuxi Municipal Health Commission through the 5G emergency network set up by China Mobile, and then follow the workflow. Send the data to the hospital to which the ambulance went. Therefore, when the patient arrives at the hospital, the hospital has mastered the basic situation and formed a preliminary emergency plan. In addition, ambulances are connected to the entire transportation network of Wuxi City. When the ambulances are driving, the green light is all the way, and there will be no red light. This is a very complicated system engineering. At present, we have deployed this platform in 18 hospitals, 54 community health centers, and 84 ambulances in Wuxi, saving an average of 15 minutes for each chest pain patient. For many, 15 minutes is a life-or-death moment. So I think that these 5G applications will be used as a model, and I hope that it will be popularized and applied to various cities from point to point. Like the example of Wuxi, all cities across the country have similar situations and can be applied, which can promote the large-scale development of 5G applications.
Yicai: We have seen that the country has written the Industrial Internet into the “Government Work Report” for five consecutive years since 2017. In this era, we emphasize ecology. What do you think is the connotation and factors of ecology? Make technology effectively and industry, and industry integration?
Meng Pu: I think when it comes to ecology, the most important thing is to have different partners. Each enterprise can do what it is good at and what is suitable for it in the ecology. In this way, it is a relatively organic combination. The spirit of cooperation is a necessary and sufficient condition. Only with this spirit of cooperation can an ecosystem be created.
Because after the new application is realized, everyone will see that there will be gains in both commercial interests and technological progress. Especially the industrial Internet mentioned just now, there are still many (complex problems) in the industrial Internet, especially the industrial control technologies such as telemetry and remote sensing are more complicated matters, and it also requires many cooperative manufacturers to form a cooperative body to combine a The Industrial Internet project has been implemented relatively well.
Yicai: If we discuss 6G at this moment, is it too early? Because relevant parties have also proposed that 6G will be commercialized by 2030.
Meng Pu: I think it is not too early to talk about 6G. In fact, from Qualcomm’s past experience, looking back at each generation of technology implementation, we have invested in those technologies for almost 10 years, because the technology is constantly evolving. However, there are many technologies in the next 4 or 5 years, there may be relatively large obstacles to implementation, so the industry will continue to delay the implementation time. As for the technologies that can already be implemented in the next two or three years, no one would suggest to wait until 6G is released. When 6G is realized, there must be many new technologies that have not been realized in 5G, and it will be realized at that time. Therefore, in terms of the evolution of the entire industry in the past, I think a certain mobile communication technology that will be realized around 2030 is called 6G, which is a very realistic possibility.
First Financial: There are many uncertainties at the moment. As a representative of Qualcomm, as for the Chinese market, do you have confidence in the continuous growth of the Chinese economy? And what investment plans do you have for the Chinese market in the future?
Meng Pu: From the perspective of the company, we are optimistic about the steady development of China for a long time. We believe that China, as the world’s largest consumer market, has a relatively large population base; at the same time, through years of accumulation in technology, capital, and talent, there are many technology applications that have very good prospects for development in China. Although we have encountered different challenges in the past, such as the new crown epidemic, I think Qualcomm’s investment and long-term commitment to China should be relatively high among multinational companies. From 2019 to the present, our annual investment in China, including the increase in personnel, has maintained double-digit growth, with an average annual increase of 20%. Therefore, Qualcomm insists on long-term investment in the Chinese market, including talents and other fields. At the same time, we are still very optimistic about the Chinese market in the future, including the development of Qualcomm in China.
I think that as 5G empowers thousands of industries, our circle of friends in China will become larger and larger, so we will have more and more opportunities for investment and cooperation in China.
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