On August 2nd this year, the top leaders of Shanxi Province visited state-owned cultural enterprises within the province to explore the cultural system and promote reforms in the cultural industry. At the forefront of the Shanxi Radio and Television Information Network Group, they carefully inquired about the layout of cable TV operations, triple-play services, and the 700M wireless network project. They encouraged the group to enhance its reform mindset and collaborative spirit to excel in special projects like the elevator IoT. Some areas should aim to lead the nation's counterparts.
These passionate expectations and clear demands underscore the provincial Party committee and government's strong emphasis on state-owned cultural enterprises in the region, providing new insights, concepts, and directions for further innovation and growth at the Shanxi Radio and Television Information Network Group.
The timeline goes back six years to 2011 when the Shanxi Broadcasting Information Network Group was established. Approved by the provincial Party committee and government, this provincial backbone cultural enterprise became the sole entity responsible for the integration, unified planning, construction, operation, and management of the province's radio and television network. Since its inception, the group has actively driven the transformation and upgrade of the broadcasting and TV network in Shanxi Province, serving as a crucial front for the ideological and cultural propaganda sector. It is also a state-owned enterprise in the emerging information industry.
In the six years since its establishment, the Shanxi Broadcasting Information Network Group has made remarkable strides, promoting substantial integration of the provincial broadcasting network, constructing the next-generation broadcasting network, operating the provincial broadcasting TV market, and developing a modern enterprise management system. Despite the declining economic indicators in the same industry across the country, the group has achieved valuable breakthroughs, creating a new landscape for the unified planning, construction, operation, and management of the provincial broadcasting network.
Currently, the Shanxi Broadcasting Information Network Group boasts an asset scale of 860 million yuan and a net asset value of 510 million yuan. In 2016, it generated a total operating revenue of 258 million yuan and a net profit of 10.76 million yuan. Since its founding, the group has consistently remained profitable, maintaining stable overall performance. Revenues from municipal and county-level jurisdictions are collected and utilized locally for the development of their respective broadcasting networks. Over six years of growth, the Shanxi Radio and Television Information Network Group has taken significant strides in integrating, constructing, operating, and managing the province's broadcasting networks, embarking on a new journey with a focus on three key areas of work.
First, the group is fully promoting the substantial integration of the Shanxi Radio and Television Network. The "Government Work Report" of Shanxi Province emphasized accelerating the integration of radio and television networks, completing the first round of asset restructuring. Currently, the provincial broadcasting network has total assets of about 6 billion yuan, over 6 million users, and more than 10,000 employees. While the overall scale is large, the network remains fragmented across city and county-level broadcasting stations or their subsidiaries. In 2011, when the group was founded, there were over 170 independent networks of varying sizes. Technologically outdated, these networks struggled with low profits and slow development. Consolidation of the provincial network was essential. To expedite this process, the group sought support from the provincial propaganda department and finance department, issuing guidance documents such as the "Implementation Plan for Accelerating the Integration of the Province's Cable TV Network" and "Notices on Clearing and Appraising Assets." This led to the establishment of a provincial, municipal, and county-level legal person vertical management system, completing the integration of four municipal branches and establishing two company network branch companies. These efforts have seen year-on-year improvements in economic benefits, with the first round of asset restructuring completed, including listing on the new three boards. The physical network of the provincial radio and television network was connected, and the signal sources for the nine cities were unified. All 170-plus Guangdian power grids have been consolidated into a dual-network structure: one directly covering 9 cities with approximately 4.5 million subscribers, while another covers Taiyuan City and Jinzhong with 1.5 million users, achieving unified physical operation at the provincial level.
Second, the group is comprehensively advancing the construction of the next-generation radio and television network in the province, aiming to connect the Shanxi network with the national backbone networks. This network will serve society, enterprises, and home users, offering live TV, broadband access, and data interconnection services. The group is vigorously promoting the broadband + DVB + OTT integrated service, focusing on retaining existing users while attracting new ones to boost ARPU. Over 200 key projects have been completed with a total investment nearing 300 million yuan. These include finishing the provincial radio and television network front end, which can provide 206 digital programs, transmit coverage to 11 cities and 119 counties, and manage millions of users. The province's trunk fiber optic cables, 26 node computer rooms, and OTN transmission are monitored and scheduled in real-time. More than 3,000 kilometers of trunk lines have been newly rectified to ensure city-level loops are complete. A 3.2T high-capacity OTN optical transmission network and backbone data network have been established, improving transmission protection. FTTH fiber-to-the-home technology has been adopted to transform access networks and user terminals. Last year, over 300,000 households underwent rectification. The group has also secured the first batch of pilot licenses for NGB-W wireless network communication technology (700M) nationwide, surpassing telecom 4G technology. The NGB-W transmission network integrating wired, wireless, and satellite networks is expected to be built first in our province. The group successfully applied for an infrastructure improvement project for small and medium-sized cities in the Shanxi Radio and TV network, receiving 300 million yuan in funding, with the first 100 million yuan already allocated. The province's network construction has been included in the China National Radio and Television Network Co., Ltd.'s 100 billion yuan national interconnection projects, with the first batch of 31 billion yuan projects set to launch soon, ensuring priority financial and technical support from the State Grid Corporation.
Third, the group is deeply developing radio and television + Internet integrated formats. Amid intensifying competition in the triple-play market, the Internet Group has firmly grasped leading broadcasting programs, obtained provincial distributor qualifications for satellite TVs, and other province-wide agency qualifications, effectively controlling the province's radio and television network program sources. The transmission of high-definition programs and dominant channels to uncompleted cities and counties' network companies will drive rapid industry development and revenue growth. The group is vigorously promoting media integration services, building a media platform that aggregates high-quality content like live TV, video-on-demand, radio, newspapers, and new media, connecting various portals such as party building, government affairs, and social services. This platform spans multiple user terminals, including TVs, tablets, and mobile phones, enabling people across the province to enjoy media services anytime, anywhere, including watching TV, reading newspapers, listening to the radio, staying informed about government affairs, voicing opinions, accessing services, playing interactive games, and pushing features. As the sole entity responsible for the unified management of the provincial radio and television network, the group has prioritized safe broadcasting since its inception. Over the past six years, it has successfully completed critical security tasks during major festivals, important conferences, and key periods, earning high recognition from the provincial Party committee, government, and the State Administration of Press, Publication, Radio, Film and Television. Shanxi Radio and TV Information Network Group places social benefits first, leveraging big data and cloud computing to expand and strengthen the province's broadcasting information network industry. Efforts are being made to promote fiber-to-the-building homes, broadband access to rural areas, the development of a digital economy, and building smart Shanxi. The group has initiated a joint project with the Wutai Mountain Management Committee to build a "Smart Wutai Mountain," opening up a new business model in the realm of "radio and television + tourism." With the support of the Provincial Press, Publication, Broadcasting and Broadcasting Bureau and the State Administration of Press, Publication, Radio, Film and Television, the group is soon to obtain the only "Elevator IoT" business license in the country. It has also reached agreements with the AQSIQ Information Center, China Radio and TV Network Co., Ltd., Taiyuan High-tech zones, and other departments to promote the transmission and video services of the nationwide elevator IoT project.
At present, the Shanxi Radio and Television Information Network Group is deeply implementing the spirit of General Secretary Xi Jinping's inspection in Shanxi, strengthening cultural confidence, deepening systemic reforms, highlighting transformative orientation, cultivating market players, striving to lead the nation's counterparts, and accelerating the development of the cultural industry as pillar industries.
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