Exclusive interview with Academician Zhao Zisen, the “Father of China’s Optical Fiber”: Why is optical fiber “cheaper” than noodles?

OFweek Optical Communications Network News With the vigorous development of the Internet and the Internet of Things, the "Broadband China" strategy has gradually been implemented. As the main carrier of basic communication networks, my country's optical fiber and cable industry has ushered in rapid development.

However, due to the intensification of market competition, the overcapacity situation of optical fiber and cable has become an indisputable fact. So what is the current situation of China's optical fiber and cable industry, what are the crux and where is the way out? On May 10, the reporter had an exclusive interview with the main founder of my country's optical fiber communication technology, senior technical consultant of the Wuhan Institute of Posts and Telecommunications, known as the "Father of China's optical fiber", Zhao Zisen, academician of the Chinese Academy of Engineering, and heads of related industries.

Academician Zhao Zisen

Current status: fiber optic Cheaper than noodles, the situation is not optimistic

According to a previous report released by market research organization CRU, global optical fiber and cable shipments will exceed 300 million core kilometers, and optical cable demand will exceed 285 million core kilometers.

This will lead to serious overcapacity, which will also bring about the irrational market phenomenon of low-price competition and shoddy products.

  Compared with January to May last year, our turnover dropped by at least 30%."

Chen Mingdong, head of Guangzhou Jingming Cable Co., Ltd. located on Zhongshan Avenue, Tianhe District, Guangzhou, told reporters that domestic optical fiber There are far more companies suffering losses in the market. The vicious competition and low prices of domestic optical fiber and cable companies have led to a decline in product quality, leaving most companies without profit margins, directly leading to chaos in the domestic optical fiber and cable market.

 "Our country's optical fiber sales volume is larger than that of the United States, and its optical fiber technology level is first in the United States, second in Japan, and third in China.

" Academician Zhao Zisen told reporters, the current situation of my country's optical fiber industry has maintained a leading position in the world in terms of annual sales volume and technical level.

However, with the decline in domestic optical fiber market demand and the further expansion of optical fiber and cable production capacity, overcapacity is an indisputable fact.

Domestic optical fiber and cable companies are facing a severe test of survival.

"The biggest problem facing China is overcapacity of optical fiber, including in places with developed optical fiber markets such as Wuhan, Shanghai, and Suzhou.

" Zhao Zisen. The academician also introduced that currently, the optical fiber market is developing rapidly and cheaply in China. Some optical fibers are even sold for a few cents per meter, which is really shocking.

He vividly compared it to reporters that a noodle and an optical fiber are of the same length. In fact, the optical fiber is cheaper than the noodles.

The crux: vicious and malicious enterprises, disorderly competition and dirty tricks

 "The direct manifestation of overcapacity is that many manufacturers have to deal with inventory , would rather sell at a loss and at a low price.

" Chen Mingdong said in an interview with reporters that there are actually many "tricks" in the malicious and disorderly competition between domestic optical fiber and optical cable companies.

For example, many construction units manipulate the quantity requirements when making budgets to understate the amount. After completion, the remaining optical fibers and cables are resold at low prices, and the price for purchasing such recycled goods is sometimes even Less than 1/3 of the market price.

This will disrupt the market step by step.

It is understood that after nearly 30 years of development, China's optical fiber and cable has grown into a mature industry with considerable competitiveness. The production capacity of optical fiber and optical cable has reached about 40% of the total global demand.

However, the current disorderly competition in the domestic optical fiber and cable industry has seriously restricted the development of this industry. There are many factors causing this situation, but in the opinion of Academician Zhao Zisen, there is another explanation.

 "Everyone is competing. If you lower the price, they will also lower the price. The way to lower the price is to increase the production line and reduce the cost, which will inevitably lead to the accumulation of low-end products.

" Academician Zhao Zisen pointedly pointed out that the main reason for my country's overcapacity of optical fiber and cable is still malicious and disorderly competition among enterprises.

Behind the domestic overcapacity of optical fiber and cable, fierce price competition, and insufficient supply of high-end products, optical fiber and cable companies will also face more severe challenges.

Domestic operators' collective purchases of optical fiber and cable continue to decline, and demand has become smaller. This has also directly led to the lack of in-depth cooperation between optical fiber and cable companies and equipment manufacturers and suppliers, resulting in the transfer of core technology of optical fiber and cable. In fact, to a large extent Listing relies on operators to gain market share.

So, how to better identify fiber quality?

 "This is difficult to say, because when the optical fiber is first installed, there are basically no problems or big differences. It is generally difficult for users to detect it, and it takes a period of use to show it.

" Chen Mingdong told reporters.

 "This also forces us to criticize the current behavior of some unscrupulous optical fiber and cable factories that further use fake and inferior optical fiber raw materials. expressed concern.

" Academician Zhao Zisen said that there are many ways to use recycled raw materials to replace high-quality polyethylene as optical cable sheaths, to replace chrome-plated steel strips with ordinary iron sheets or tin-plated steel strips, and to use substandard grease, etc. A common method used by unscrupulous manufacturers to reduce costs.

Once these low-quality optical cable products are used, they will bring great security risks to the network.

Academician Zhao Zisen also called for optical fiber. Competition between optical cable manufacturers must be moderate and vicious and disorderly competition must be stopped.

In addition, Academician Zhao Zisen also believes that optical communication energy consumption also needs to be solved. problems, as well as the difficulty in developing international markets, trade and technologyMany barriers and insufficient investment in new product research and development are the reasons for my country's overcapacity of optical fiber and cable.

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