Today, I heard that China Mobile is entering the TV business for the first time. This marks a significant move for the company, as it's the first telecom operator to step into this market. I have to say, China Mobile is really smart in identifying new opportunities, but whether it will succeed ultimately depends on how well it can meet user demands.
Recently, China Mobile has revealed its plan to launch a smart TV product, which is expected to be released by the end of the year. If everything goes smoothly, this could be the beginning of its smart home ecosystem, opening up a new chapter in the smart home industry.
The decision to enter the smart TV market is closely tied to the broader transformation of telecom operators. With the rise of internet companies, traditional operator services have been under pressure, leading to what some call a "pipeline" situation. To stay relevant and grow long-term, operators need to find new paths. In recent years, the smart TV sector has shown strong growth, and China Mobile has clearly recognized this as a promising opportunity. However, the question remains: will users actually buy into this new venture?
**Active Transformation: China Mobile Has Been Moving for a While**
According to a report from China Report Hall, the potential smart home market in China is estimated at 5.8 trillion yuan, with the total market size expected to reach 225 billion yuan by 2018. The market is huge, especially in smart home appliances, which currently hold the largest share. This explains why China Mobile is so eager to get involved—it sees a massive profit potential and needs to transform quickly due to limited growth in its traditional business.
In fact, China Mobile hasn’t been shy about expanding into other industries before. Since 2013, it has launched several mobile devices under the “He†brand, including models like M601 and M701, during the peak of the smartphone boom. Later, in 2014, it introduced 4G-enabled models such as M811 and M812C, and in 2015, it released two self-branded 4G smartphones, A1 and N1, under the “China Mobile†brand.
Although some internal sources suggested that these phones were produced through OEM partnerships with companies like Xiaomi and Meizu, China Mobile didn't focus on selling them directly. Instead, the goal was to lead industry trends. Despite this, the mobile phone business didn’t take off as expected. Many users found the designs outdated or unappealing, and the strategy of giving away phones as gifts didn’t fully work. Ultimately, the terminal business wasn’t very successful.
**Smart TV: Another Challenge for China Mobile**
This time, moving into the smart TV market is another bold step. By doing so, China Mobile can not only expand its terminal offerings but also upgrade its 4G services. Additionally, it can enhance its broadband business while offering TV services. It’s a classic “two birds with one stone†approach.
Smart TVs rely on broadband networks to deliver digital content over the internet, often integrating features like IP-based services and internet connectivity. If China Mobile succeeds in this space, it could add new value to its service chain, boost broadband adoption, and even drive growth in its IP telephony services. So, why not try?
**Will Users Buy It?**
Whether China Mobile can succeed in the smart home market still comes down to whether it can meet user needs. In my opinion, as the largest mobile operator in China, it has a strong foundation for developing smart TVs. Its existing network and content ecosystem can greatly support smart home services. For hardware, it has partnered with BOE, the leading display panel manufacturer in China, to offer large-size 4K ultra HD TVs. BOE is known for its advanced technology and reliable quality, making it a trusted partner.
However, one thing that worries me is the current performance of China Mobile’s broadband speed, which has faced criticism from users. If it can’t meet the high demands of smart TV services, the entire initiative may end up being just a “wedding dress†for the public—looking good on paper, but not practical in real life.
Still, China Mobile’s move is a positive example for other operators, showing that there are new possibilities and directions for future business transformation. It’s an encouraging sign that even traditional players are adapting and evolving in the digital age.
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