Core Insights - The article highlights the rapid growth and transformation of 5G technology over the past six years, emphasizing its role in driving economic development and digital transformation across various industries [1] - Despite the increase in 5G users and infrastructure, telecom operators are facing a challenge of "incremental growth without revenue increase," necessitating a shift towards differentiated connectivity strategies [2][3] Industry Overview - As of April 2025, China has established 4.439 million 5G base stations, with 1.081 billion 5G mobile users, accounting for nearly 60% of total mobile phone users [1] - Major telecom operators in China reported significant user growth, with China Mobile reaching 1.003 billion total mobile users and 578 million 5G users, while China Telecom and China Unicom reported 429 million and 349 million total mobile users, respectively [2] Revenue Challenges - The average revenue per user (ARPU) for 5G packages is only about 10% higher than that of 4G, with many users opting for low-cost packages that do not significantly boost revenue [2] - The global telecom industry is experiencing a "pipeline" dilemma, where increased data traffic does not translate into proportional revenue growth [2] Differentiated Connectivity Strategy - Leading telecom operators are exploring differentiated connectivity strategies to enhance revenue and value for both industries and end-users [2][3] - Differentiated connectivity aims to provide tailored services based on user needs, such as basic packages for casual browsing and specialized subscriptions for high-demand applications like video calls and gaming [2] Programmable Networks - High-performance programmable networks are essential for supporting differentiated connectivity services, allowing for dynamic resource allocation and improved service delivery [3][4] - The key elements of programmable networks include high performance and programmability, which enable operators to respond quickly to market changes and reduce operational costs [4][5] Future Development - The transition to high-performance programmable networks is seen as a gradual process, starting with 5G standalone and advanced networks, focusing on enhancing operational efficiency and service differentiation [4][5] - Programmable networks aim to simplify the translation of user needs into executable plans, facilitating rapid service deployment and integrating AI and automation into network management [5]