Overview
China's total 5G network investment for 2020-2025 is estimated at 0.9-1.5 trillion yuan, with a large portion allocated to base stations. This article summarizes the main cost components of a 5G macro base station and provides a rough cost breakdown.
Main Component Categories
- Main equipment: BBU, AAU, and transport equipment
- Power and auxiliary systems: power supplies, batteries, air conditioning, monitoring
- Civil works: equipment room, materials, and labor
Main Equipment Costs
Because China’s operators are state-owned enterprises with large demand and official support, they have advantages in procuring main equipment. Based on industry information, one BBU plus three AAUs costs about 200,000-250,000 yuan.
Other components include baseband boards, main control boards, and power modules:
- Baseband board: about 10,000-20,000 yuan
- Main control board and power module: about 3,000-6,000 yuan
- Antenna: about 6,000 yuan
Power and Auxiliary Equipment
Quantities and specifications vary with site configuration. Typical items and approximate costs:
- Outdoor cabinet: about 5,000 yuan each
- Power cabinet: about 5,000-10,000 yuan
- Batteries for emergency backup (may be omitted if power is stable)
- Air conditioning, intrusion protection, cable trays, mounting racks, etc.
Estimated total for power and auxiliary systems: about 40,000-60,000 yuan.
Civil Works
Civil work costs depend on tower type and site conditions. Using a mainstream three-pipe tower as a reference:
- A typical three-pipe tower weighs about 8.5 tons and costs approximately 90,000 yuan
- Site preparation, assuming self-built site with no rent
- Labor for installation and construction
Estimated civil works cost: about 100,000-150,000 yuan.
Overall Estimate and Operational Notes
Summing the above, building a complete 5G base station costs roughly 450,000 yuan. This is about four times the cost of a comparable 4G base station and does not include ongoing maintenance and operating expenses, such as power consumption, which can be significant. Because 5G includes microwave and millimeter-wave deployments, the required number of sites is much higher than for 4G. The involvement of major power grid operators in 5G construction has increased available capital for deployment.
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