New-Generation Integrated Communication Infrastructure to Generate 7 Trillion Yuan Industrial Output Over Five Years

According to domestic industrial research institutions, the roll-out of 5G-A commercial networks, licensing of 6G technical trial frequencies, large-scale trials of 10Gbps fibre broadband and construction of interconnected satellite constellations are collectively forming a high-speed, ubiquitous terrestrial-and-space integrated communications network. The nationwide infrastructure upgrade will drive iterative development across an extensive industrial chain, covering network hardware, semiconductor chips, precision testing instruments and intelligent consumer terminals. Independent economic modelling puts the aggregate upstream and downstream industrial output generated by this new communications ecosystem at approximately 7 trillion yuan within the next five years.

On 9 June, an improved Zhuque-2 Y6 carrier rocket completed a dual-satellite launch mission, successfully sending Qianfan DTC01 and China Mobile 02 satellites into designated orbital slots. The launch sequence operated without disruption, fulfilling all pre-set mission objectives. Both spacecraft have been deployed to carry out technical validation trials for direct smartphone-to-satellite connectivity and seamless integration between terrestrial and space communications frameworks. The China Mobile 02 satellite was fully developed by Galaxyspace.

Satellite communications constitute a core layer within the evolving national communications architecture, acting both as orbital information transmission corridors and an indispensable pillar of future 6G terrestrial-space convergence networks. Space-based infrastructure delivers complementary coverage and use cases alongside ground-based 5G and upcoming 6G cellular networks. Satellite internet will expand consistent data connectivity to remote geographies including desert zones, offshore maritime areas and mountainous terrain across the coming decade. Deployment of large-scale satellite constellations will stimulate parallel growth in phased array antennas, high-capacity on-orbit power modules and advanced digital payload processing hardware, triggering cascading expansion across supporting industrial segments.

Since the start of the calendar year, the Ministry of Industry and Information Technology has introduced a suite of supportive policy measures to accelerate construction of integrated communications infrastructure. Official initiatives cover scaled commercialisation of 5G-A services, structured roll-out of 10Gbps fixed-line broadband pilots, frequency spectrum approvals to advance domestic 6G research, standard formulation and industrial translation, cross-provincial collaborative innovation schemes for 6G technologies, and commercial testing of satellite IoT services to build mass-market operational capacity for orbital data networks.

The distinguishing value of next-generation communications infrastructure lies in reconstructed network architectures, expanded technical performance and innovative commercial applications. Deep integration between communications, artificial intelligence, environmental sensing and distributed computing systems enables an industry-wide shift from basic machine connectivity to intelligent interconnected ecosystems. Industrial gains extend far beyond communications hardware manufacturing, opening dual avenues of technological iteration and scalable market expansion for every segment along the supply chain.

Research forecasts full-scale commercial rollout of domestic 6G networks by 2035, with the technology poised to nurture trillion-yuan markets for related hardware and service applications. Ongoing research work explores emerging commercial models powered by embodied intelligence and autonomous agent communications, built around native 6G operational frameworks. Targeted industrial development will centre on high-demand vertical sectors, including immersive media platforms, industrial internet deployments and low-altitude aerial economy operations, to cultivate widely adopted flagship 6G-enabled services.

Global technology research and advisory firms identify substantial investment potential across segmented communications sub-sectors. Satellite internet presents clear short-term commercial opportunities in satellite assembly, phased array antenna production, radio frequency chip manufacturing, ground station hardware, orbital telemetry control platforms and specialised testing equipment. Longer-term value concentrates on constellation operation services, vertical industry-specific end devices and tailored scenario-based digital applications. Investment evaluation frameworks prioritise tangible order volumes, mass-produced terminal unit costs, enterprise client payment viability and operational cash flow performance over speculative market hype.

Financial research bodies maintain a positive outlook across the complete industrial value chain. Upstream focus areas include high-frequency semiconductors, specialised composite materials, core communications chips, optical transmission components and critical satellite structural hardware. Midstream production activities encompass cellular base station hardware, fixed and wireless communications equipment, fibre broadband infrastructure, satellite manufacturing, orbital launch services and end-to-end network construction. Downstream commercialisation centres on consumer and industrial hardware such as satellite-connected mobile handsets, VR and AR headsets, alongside vertical deployments for industrial networking, connected vehicles, low-altitude aviation systems and digital healthcare platforms, which hold the largest long-term market capacity.

Publicly listed technology firms and independent unicorns are increasing capital expenditure and R&D input to capture key industrial opportunities. Spacety has established integrated research and manufacturing hubs in Beijing, Wuxi, Changchun and Chengdu. Its intelligent production facility based in Wuxi holds annual manufacturing capacity for more than 150 satellites weighing between 200 and 500 kilograms each.

China Mobile has outlined infrastructure advancement targets aligned with the 15th Five-Year Plan cycle. Development priorities include upgrading dual-gigabit fixed and mobile networks to dual-10Gbps standards, sustained technical breakthroughs in 5G-A, 6G and satellite internet systems, and construction of next-generation information infrastructure characterised by integrated sensing, computing and artificial intelligence capabilities, cross-domain terrestrial-space-marine connectivity and robust security architecture. Spacecom recently released a public fundraising proposal to raise no more than 7 billion yuan. Allocated funding buckets include 1.5 billion yuan dedicated to industrialised terrestrial-space integrated mobile communications projects, 1.85 billion yuan for cross-domain convergence R&D work and an additional 1.85 billion yuan exclusively allocated to 6G technical research. Total capital investment for the full portfolio of outlined projects stands at 9.5 billion yuan.

Industry participants will channel resources into three core development vectors to secure competitive positioning across emerging communications segments. Companies will allocate research budgets to frontier hardware including 6G integrated sensing modules, intelligent metasurfaces and terahertz components to reinforce proprietary technical advantages. Customised commercial solutions will be engineered for high-growth vertical markets such as advanced manufacturing and low-altitude aerial industries, aligning technical performance with real-world operational requirements. Collaborative partnerships between upstream component suppliers, midstream equipment manufacturers and downstream service operators will deepen to strengthen cross-industry innovation ecosystems.