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| Telecom Industry Reshuffle Impacts Operators’ June Performance |
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The telecom industry reshuffle in China has started to impact the performance of telecom operators. China Mobile still maintains fast growth, with 7.55 million new subscribers added in June, again hitting a record high for new subscribers in a single month. Since May, China Unicom has stopped the promotion of CDMA services due to the earlier selling of the CDMA network to China Telecom. The GSM services of China Unicom are also affected to some extent. According to statistics, China Unicom has only 24,000 new CDMA subscribers and 1.09 million new GSM subscribers in June, slowing down from 1.15 million new GSM subscribers in May. It is reported that China Mobile and China Telecom have already started to plan converged service and will probably launch it in November. The CDMA network deal between China Telecom and China Unicom along with the merger of China Unicom and China Netcom will be officially closed around September 30. From then just really begins the competition amongst the three big operators after reshuffle.
Comment: The impacts of the reshuffle on telecom operators have been initially unveiled. While insisting on the policy to stably expand GSM subscribers, China Mobile is also promoting new concept and application of TD-SCDMA. Although the deals amongst the telecom operators will be settled about September 30, it’s a long way for both the adaptation inside the merged companies and the promotion of mobile communication services. To be able to pose a threat to China Mobile, both China Telecom and China Unicom after reshuffle will have a long way to go.
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| Time:2008-07-31 |
Source:NaviForum Shanghai News Center |
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