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              China Mobile Started the Second Batch of Optical Cable Concentrated Purchase This Year

              The first batch of mining volume has been prematurely run out by the end of April, China Mobile started the second batch of mining. Procurement of products for the ordinary cable, the estimated procurement size of 237.96 million km long km, equivalent to 67,604,900 core km, compared with the previous 61.14 million core km set quantity increased 10%. The procurement satisfaction period from July 2017 to the end of December 2017.
               
                      The gathering is not the same as China Unicom and Telecom, the provisions of the price ceiling, but for the successful share of certain restrictions. The number of successful bidders is expected to be 10 to 18, this bidding does not set the highest bidding price.
               
                      CIMC set incremental price does not limit, refraining the tight supply of domestic fiber optic cable and mobile strong determination to develop fixed-line construction.

              In the previous batch of China Mobile, the first batch of mining volume had already been used up ahead of the end of April. Combining the mining and non-ribbon optical fiber cables, special optical cables and butterfly cables in November last year, The private procurement after the tender expired is expected that the actual demand of China Mobile in 2017 will be 1.6 trillion core km above, compared with the actual demand of China Mobile in 2016 (about 11.22 billion core km) with more than 40% -50% growth.
               
                      As the largest demand for optical fiber and cable operators, this set of mining projects do not set the highest bidding limit, reflects the tight supply and demand of domestic optical fiber and cable status is still tight.
               
                      On the other hand, with the price of optical fiber and cable at a relatively high level, M & E has adopted the method of "Spending Time to Buy" to rapidly develop fixed-line network. In our opinion, Uncertain Price also reflects Mobile's determination and emphasis on the development of fixed-line network degree.
               
                      The tight supply of light sticks will affect the release of fiber capacity and the continuous development of fixed-line construction in China Mobile. The business climate is expected to continue until 2018.

               

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