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Tag Archives: China Telecom
China Telecom latest Business & Financial news from Doug Young, the Expert on Chinese High Tech Market, (former Journalist and Chief editor at Reuters)
The following press releases and media reports about Chinese companies were carried on February 13. To view a full article or story, click on the link next to the headline.
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Merger Speculation Sends Chinese Telecom Shares Higher (English article)
Metal Trading Site Zhaogang.com Gets $100 Mln In Financing Round (Chinese article)
Trina (NYSE: TSL) To Build Photovoltaic Plants With PingAn Trust, Jiuzhou Investment (PRNewswire)
US Has Raised Concerns With China About New Cyber Rules: Official (English article)
Geely (HKEx: 175) Gets CBRC Approval For Auto Finance JV With BNP Paribas (HKEx announcement)
Bottom line: China could end 2015 with up to 450 million 4G subscribers, with telcos, 4G smartphone makers and mobile-focused Internet firms most likely to benefit from the massive migration.
China Telecom targets 100 mln 4G users
China Telecom (HKEx: 728; NYSE: CHA) has just become the final of China’s big 3 telcos to announce an extremely aggressive subscriber target for its new 4G service, confirming my earlier prediction that the nation could end 2015 with as many as 450 million 4G users if everyone meets their goals. If they do reach those targets, it would represent a remarkable transformation that would see around one-third of the nation’s mobile users switching to 4G service by year end. That could provide a bonanza for not only the telcos, but also the smartphone makers and Internet service providers that would also benefit from such a mass migration. Read Full Post…
Bottom line: New data from the telecoms regulator shows that China Telecom outperformed its rivals last year, and could be set for strong growth as it consolidates around its high-speed wireless data business.
China Telecom outpaces rivals in 2014
Just a month after I expressed disappointment at China Telecom (HKEx: 728; NYSE: CHA) for its lack of focus in the era of data services, newly released year-end financial data are making me re-think my view. That data appears to portray China Telecom as a company that has made the difficult transformation from a traditional fixed-line operator to a more wireless-focused carrier, meaning it could finally be poised for some strong growth this year as it rolls out a new state-of-the-art 4G network. Read Full Post…
The following press releases and media reports about Chinese companies were carried on January 21. To view a full article or story, click on the link next to the headline.
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Itochu, Charoen (Tokyo: 8001) Pay $10.4 Bln for Stake in Citic (HKEx: 267) (English article)
China Telecom Incremental Increases Outpace China Mobile, Unicom in 2014 (Chinese article)
Spring Airlines (Shanghai: 601021) To Make Trading Debut In Shanghai (Chinese article)
New Oriental (NYSE: EDU) Announces Second Fiscal Quarter Results (PRNewswire)
Bottom line: 2015 will see an acceleration in 4G services, with China Telecom and Unicom winning commercial FDD licenses in the first quarter and 2-4 VNO licensees potentially emerging as real rivals to the big 3 telcos.
4G set to take off in 2015
A number of telecoms stories are in the headlines today, highlighting the huge hopes everyone has for new 4G services that will open up the market to a wide array of new products. Leading the headlines are word that China Telecom (HKEx: 728; NYSE: CHA) and Unicom (HKEx: 763; NYSE: CHU) have gotten the green light to expand their trial 4G networks, as the nation’s 2 smaller mobile carriers play catch-up to industry titan China Mobile (HKEx: 941; NYSE: CHL).
At the same time, another new report is showing the pathetic state of under-utilization for China Mobile’s 3G network, which uses a homegrown technology that has been plagued with problems. Finally there’s a third report saying the telecoms regulator has just issued its fifth and possibly final batch of virtual network operator (VNO) licenses, creating several dozen new carriers that will compete in in 4G by leasing capacity on the networks of the big 3 telcos. Read Full Post…
The following press releases and media reports about Chinese companies were carried on December 18. To view a full article or story, click on the link next to the headline.
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Baidu (Nasdaq: BIDU) To Buy Uber Stake In Challenge To Alibaba In China (English article)
Dalian Wanda Sets IPO Price At HK$48, Near Upper End Of Range (Chinese article)
Avon (NYSE: AVN) Ends Bribery Probe Tied to China With Guilty Plea, Fine (English article)
US Confirms Duties On Solar Goods From China, Taiwan (English article)
Unicom (HKEx: 762), China Telecom (HKEx: 728) To Expand LTE Trial Networks (Chinese article)
Bottom line: A new management shake-up at China Telecom could hint at a coming period of instability for the company, which could hamper its performance just as it gets set to launch commercial 4G service next year.
Management shake-up at China Telecom
I’ve been quite negative on China Unicom (HKEx: 763; NYSE: CHU) for quite a while now, as China’s second largest wireless carrier seems to be constantly undergoing new management reshuffles that have hobbled its performance since its creation 5 years ago through the merger of China’s 2 smallest telcos. But now the nation’s smallest wireless carrier China Telecom (HKEx: 728; NYSE: CHA) is showing signs of similar issues, with word that the company is also undergoing its own management shake-up affecting a growing number of top provincial-level executives. Read Full Post…
The following press releases and media reports about Chinese companies were carried on December 2. To view a full article or story, click on the link next to the headline.
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Fosun (HKEx: 656) Raises Club Med (Paris: CU) Bid Hours Before Deadline (English article)
Jack Ma, Pony Ma May Join In Ping An’s (HKEx: 2318) $4.75 Bln Fund Raising (Chinese article)
Bottom line: China’s plan to allow private competition in the wire-line broadband sector will move forward slowly, but should provide needed competition for Unicom and China Telecom within the next 3-5 years.
China opens broadband to private investment
China’s drive to open up its telecoms services sector to more competition could soon gain some new momentum, with word that the telecoms regulator is crafting a plan that would let private companies offer wire-line broadband services. This particular move looks like an extension of a campaign that launched earlier this year, allowing private companies to offer traditional mobile service through the creation of virtual network operators (VNOs).
This new campaign would also come as China works to break the current monopoly in the wire-line broadband sector held by China Telecom (HKEx: 728; NYSE: CHA) and China Unicom (NYSE: CHU; NYSE: CHA), which previously were probed for monopolistic practices. It would also come as Beijing assembles a new national wire-line broadband company through consolidation of the nation’s dozens of cable TV operators. Read Full Post…
Bottom line: After a slow start, China’s VNO program is picking up momentum, with new operators poised to sign up a collective 50 million in total subscribers as soon as the middle of next year.
VNOs gain momentum
After a decidedly slow start in their first half year of life, China’s young crop of virtual network operators (VNOs) are starting to show some new signs of momentum, including a boost with the new awards of licenses to leading online video site Youku Tudou (NYSE: YOKU) and fast-rising smartphone maker Xiaomi. The VNO program is part of Beijing’s efforts to breathe new life into the telecoms services sector by opening it up to new private operators that can compete with the big 3 state-run telcos. But the program has been plagued with glitches since the first new services launched in the spring, with the result that progress has been slower than expected. Read Full Post…
Bottom line: China could have as many as 400 million 4G subscribers by the end of next year, as the nation’s 2 smaller carriers join China Mobile in offering aggressive promotions starting in January.
4G to explode in 2015
After a period of relative quiet following the iPhone 6’s delayed China launch last month, we’re seeing a sudden flurry of news on the development of 4G service in China. None of the headlines are unexpected, but they do collectively point to a coming explosion in 4G service in 2015. Leading the headlines are reports that the telecoms regulator will give 4G licenses to China’s 2 smaller telcos, China Unicom (HKEx: 762; NYSE: CHU) and China Telecom (HKEx: 728; NYSE: CHA), by the end of this year. At the same time, another report is giving the latest national 4G figures, and yet another headline details Unicom’s aggressive 4G plans for 2015. Read Full Post…
