As the Chinese increase in affluence, they are choosing to buy phones, mobiles, and internet access. Figures from the Ministry of Industry and Information Technology of China (MIITC) indicate good growth for China and concurrent infrastructure investment.

The current subscriber total within China reached 601 million users at the end of June, 2008. The revenue growth of 9.2 per cent (year on year) reflects the growth in subscribers. From January till the end of June 2008, an additional 53.5 million mobile subscribers joined. These numbers are an aggregate of the mobile, fixed line telephone, long-distance call network, and data communications. So this does not mean that all the new subscribers are purchasing mobiles. It does mean that they are purchasing communication subscriptions.

When the aggregate numbers are broken out, it reflects a preference for mobiles and broadband subscriptions, which represent 53.6 per cent of revenues, an increase of 15.9 per cent. Revenue from broadband is 9.4 per cent of the total, an increase of 40.4 per cent. Other communications methods dropped slightly in their percentage of revenue. This indicates a growing middle class that wants access to friends and relatives.

More telling is the increase in internet access. Dial-up subscriptions added another 3.449 million subscribers. Broadband added an additional 1.559 million subscribers for a total of 76.007 million by the end of June. In typical Chinese fashion, an amazing amount of infrastructure continues to be installed to support the growth in subscribers. Telecom investment in fixed assets was €10.6 billion, a year-on-year increase of 9.9 per cent. X

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