State Grid and China Telecom Sign Strategic Cooperation Agreement to Jointly Promote Fiber to the Home
State Grid Corporation of China and China Telecommunications Corporation signed a strategic cooperation framework agreement in Beijing on the 2nd, under which the two parties will cooperate in the power grid and communication fields, focusing on the joint construction of the power fiber-to-the-home project to promote the development of a strong smart grid.
According to the agreement, the two parties will strengthen cooperation in six aspects: first, achieving resource complementarity in the infrastructure field and jointly promoting [fiber to the home](
The two parties believe that the significance of this strategic cooperation lies in achieving complementary resource advantages, promoting the integration of informatization and industrialization, and advancing the construction of a strong smart grid. With the goal of cost reduction and efficiency improvement, the two parties will provide each other with competitive products and services to achieve win-win cooperation.
Zhang Chenshuang, Vice President of China Telecom, stated that the smart grid cannot be separated from the support of informatization. Through the integrated advantages of its fixed network, mobile network, and the Internet, China Telecom will provide State Grid with comprehensive informatization services, covering businesses from basic communication circuits to power industry applications and efficient collaborative office unified communication applications, helping State Grid build a strong smart grid.
Wang Yimin, Director of the Smart Grid Department of State Grid, believes that informatization is the implementation foundation of the strong smart grid, enabling the highly integrated, shared, and utilized real-time and non-real-time information. Cooperation with China Telecom will help improve the construction of the power communication network within the smart grid.
State Grid plans to basically complete the construction of a modern power grid nationwide by 2020, featuring a UHV power grid as the backbone network framework, coordinated development of power grids at all levels, supported by a communication and information platform, and characterized by informatization, automation, and interaction.
In the cooperation between the two parties, the joint promotion of power fiber-to-the-home construction is particularly noteworthy. This move signifies that the two parties will join forces to compete for a share in the highly competitive triple-play market. As one of the landmark technologies of the smart grid, the State Grid power fiber-to-the-home project mainly relies on laying optical fiber along with low-voltage power lines, enabling smart grid functions and supporting triple-play services such as telecommunications network, broadcast network, and Internet content transmission.