China’s government has launched a new government-run mobile phone service and a new mobile network, but the internet giants aren’t happy about it.
According to a new report, China’s top five internet firms have signed an agreement with the People’s Republic of China to jointly run a nationwide mobile network for its population of 1.2 billion.
Under the deal, which was published online Monday by the People for a New Future (PNGF), the five internet giants will jointly provide broadband to the entire population of China, with a separate deal in place to help local mobile phone companies with their data plans.
“China is building a new digital ecosystem that is more powerful than any of us could have imagined,” said Peng Yangming, the CEO of China Mobile Group.
“We are confident that we can lead the world in this field.”
China’s internet firms said the new mobile phone network would serve as a stepping stone for the country as it prepares to transition to the internet of things, which aims to provide devices, applications, and services more quickly and easily than they do today.
Penguin China reported that in 2016, China overtook the United States as the world’s largest smartphone market, surpassing the U.S. market by a wide margin.
This was partly due to the fact that smartphones and tablets were now cheaper and more readily available than they were in 2015.
The government said in a statement that the mobile network would “allow users to enjoy the convenience of accessing the internet from anywhere in China, regardless of location, without requiring them to travel anywhere to access a service.”
The government said the deal was in line with plans to develop the countrys first Internet of Things (IoT) services, which will help connect China’s vast population with the internet, and build more efficient communication networks.
The five internet providers said they would also work together to launch a new public Wi-Fi network for the rural areas and a “smart phone app store.”
China Mobile said that it would provide free internet service to all citizens, regardless the geographical location, to help build a more inclusive environment.