What happened: The Chinese government has started testing the application of 5th generation mobile networks (5G). Authorities at local levels have made plans to accelerate construction of 5G infrastructure and relevant industries. China Unicom launched the first batch of 5G stations in Beijing on August 13 and is expected to build 300 stations by 2018. According to reports, 5G will be wildly used in commercial scenarios by 2020.
Why it’s important: A 5G network will benefit industries such as the Internet of Vehicles (IoV) and the Internet of Things (IoT) which can fuel the consumption upgrade in China’s slowing economy. 5G pilot projects are carried out by China Mobile, China Unicom, and China Telecom and most of them are taking place in China’s first and second-tier cities like Beijing, Shanghai, Guangzhou, and Hangzhou.