In-depth Analysis and Development Prospects of the 6G Industry: AI Expected to Drive the Advent of the 6G Era
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6G is an important direction for the future of communication technology. Building on 5G, 6G technology will achieve greater breakthroughs and innovations. It is expected that 6G will utilize more advanced communication frequency bands, such as the terahertz band, to achieve higher data transmission rates and lower latency. Additionally, 6G will introduce new technologies, such as advanced antenna technology, novel network architectures, and new signal processing algorithms, to enhance system performance and efficiency.
6G technology will further expand application scenarios to meet the diverse needs of future society. For example, 6G will support higher-quality voice and video communication, offering richer multimedia services. At the same time, 6G will enable larger-scale IoT connectivity, driving advancements in smart homes, intelligent transportation, and smart manufacturing. Furthermore, 6G will support more efficient wireless data transmission, providing robust support for cloud computing and big data processing.
In-depth Analysis and Development Prospects of the 6G Industry
The 6G industry has broad development prospects and enormous market potential. The advancement of 6G technology requires global standardization and collaboration. Governments and standardization organizations worldwide will strengthen cooperation to jointly promote the research, development, and standardization of 6G technology. Through global collaboration and standardization, the interoperability and compatibility of 6G technology can be ensured, fostering the shared development of the global communication industry.
The development of 6G technology requires coordinated efforts across the entire industry chain. From chip manufacturing and equipment production to network construction and end-user applications, the entire industry chain must work closely together. Moreover, 6G technology will deeply integrate with emerging technologies such as cloud computing, edge computing, and artificial intelligence, driving innovation across the entire information and communication industry. 6G will support more application scenarios such as autonomous driving, remote medical care, and smart cities. The high-speed, low-latency 6G network will provide reliable support for these applications, driving innovation and development in related industries. 6G is expected to offer data transmission speeds dozens of times faster than 5G. This means users can download and upload data more quickly, access the internet more smoothly, and enjoy higher-quality video streaming and online gaming experiences.
The 2024 Mobile World Congress (MWC 2024) has drawn significant market attention. On February 27, the 6G sector in the A-share market surged, with Mingyang Circuit (300739.SZ) and Shaanxi Huada (301517.SZ) hitting the 20% limit-up, Chuangyuan Xinke (831961.BJ) rising over 18%, and ZTE (000063.SZ), China Satcom (601698.SH), FiberHome (600498.SH), and Wote (002886.SZ) all reaching the limit-up.
Meanwhile, the AI-RAN Alliance was also established during MWC 2024. It is reported that the alliance is led by NVIDIA and includes 11 initial members such as Samsung, ARM, Ericsson, Microsoft, Nokia, NVIDIA, and SoftBank—semiconductor, telecommunications, and software giants. The alliance aims to integrate artificial intelligence (AI) into cellular technology to further advance wireless access network (RAN) technology and mobile networks, preparing companies for competition in the 6G era.
At the MWC Day0 event hosted by Huawei on February 25, telecom operators from China, Germany, Switzerland, Thailand, Africa, and Saudi Arabia shared their practices in 5G and 5G-A.
Li Qiang, General Manager of China Mobile's Planning Department, pointed out that as the first half of 5G development concludes, challenges remain, including slowing user growth, stagnant traffic growth, low saturation, slowing revenue growth, and the absence of killer applications. Mark Chong, Deputy CEO of Thailand's AIS, said, 'I must say that in the consumer sector, 5G has not found a killer application. We believe the B2B market may offer greater appeal for 5G.' AI Expected to Drive the Advent of the 6G Era
The accelerated evolution of new-generation information technologies is bringing unprecedented opportunities to industry development, propelling data, computing power, and artificial intelligence as key pillars of social productivity growth. With 5G technology continuously advancing, the next transition is already on the horizon. On February 26, local time, 10 countries including the U.S. and the U.K. issued a joint statement supporting 6G principles. Simultaneously, the AI-RAN Alliance, initially comprising semiconductor, telecom, and software giants such as Samsung, NVIDIA, Ericsson, Microsoft, Nokia, and SoftBank, was established, targeting the benefits of the 6G era.
From an industry perspective, beyond telecom operators, future players in China's communication sector may expand further, including system integrators, manufacturers like Xiaomi and Lenovo, and companies such as Yonyou Network and Alibaba capable of providing comprehensive solutions. Integrating AI into cellular technology aims to further advance wireless access network (RAN) technology and mobile networks. The alliance's mission is to enhance mobile network efficiency, reduce power consumption, and transform existing infrastructure, thereby laying the groundwork for telecom companies to unlock new business opportunities with AI under the support of 5G and 6G.
Entering 2024, on one hand, 5.5G is entering the commercial phase. For instance, China Mobile announced during the 2024 Mobile World Congress (MWC 2024) that it will launch the world's largest 5G-A commercial deployment in over 300 cities this year. On the other hand, 6G technology is beginning to take shape.
According to Cailian Press, on February 26, local time, during MWC2024, 10 countries including the U.S. and the U.K. issued a joint statement supporting 6G principles. The countries participating in the joint statement include the governments of the U.S., Australia, Canada, the Czech Republic, Finland, France, Japan, South Korea, Sweden, and the U.K. Beyond government initiatives, the collaboration among international tech giants is noteworthy. On February 27, Nvidia announced the formation of the AI-RAN Alliance during MWC 2024. Founding members include Amazon Web Services, Ericsson, Microsoft, Nokia, Samsung Electronics, Nvidia, and SoftBank.
In the 6G era, domestic telecom operators and related enterprises in China may compete around two sets of technical standards. Yu Fenghui further pointed out that to lead in 6G, Chinese companies should not only increase R&D investment but also focus on key technologies such as AI, quantum computing, and satellite communications.
Looking back at China's performance across different generations of communication technology, the country has progressively evolved from lagging in 1G, following in 2G, making breakthroughs in 3G, running alongside in 4G, to leading in 5G. According to relevant statistics, by the end of 2023, China had built 3.377 million 5G base stations, establishing the world's largest fiber-optic and mobile broadband network. The energy consumption per 5G base station has been reduced by over 20% compared to the initial commercial phase.
6G Industry Development Strategy
The information and communication industry is a primary battlefield for industrial and technological innovation, being one of the sectors with the most concentrated R&D investment, the most active innovation, the widest application, and the strongest radiating influence. Currently, China has built the world's largest and most technologically advanced information and communication network. Recently, the Ministry of Industry and Information Technology stated that it will proactively cultivate the 6G application ecosystem, with 2025 set as the timeline for technical standard formulation and 2030 for the basic realization of 6G commercialization.
Forward-looking deployment in next-generation internet and other cutting-edge fields, along with comprehensive advancement in 6G technology R&D, will be the main challenges facing the information and communication industry in the next phase. Artificial intelligence can also be applied to network backend software, making the entire communication system more intelligent. For example, the monitoring and analysis of the electromagnetic environment enable more precise and efficient transmission of communication signals. The development of 6G will fully consider these integrated applications in communication standards, bringing more intelligence and convenience to future communication systems.
Regarding the challenges faced by 6G commercialization, Wen Ku believes there are several aspects worth noting. First, there are certain satisfaction issues in applications, particularly in the use of artificial intelligence, where some expectations may still take time to realize. Second, commercial deployment must address network coverage, especially in remote areas and urban fringes. Finally, compared to 5G, 6G technology is more complex, requiring additional research, development, and experimentation, which will also necessitate a relatively longer cycle.
As 6G technology gradually advances, people will experience more significant changes in communication in the future.
In the fiercely competitive market, the ability of enterprises and investors to make timely and effective market decisions is key to success. The 6G industry report compiled by China Research Network provides a detailed analysis of the development status, competitive landscape, and market supply-demand dynamics of China's 6G industry. It also examines the opportunities and challenges faced by the industry from the perspectives of policy, economic, social, and technological environments. Additionally, it reveals potential market demands and opportunities, offering accurate market intelligence and scientific decision-making support for strategic investors and corporate leadership in planning. The report also holds significant reference value for government departments.