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China may grant 3G licenses to foreign firms
www.chinanews.cn 2006-04-07 16:15:30
Chinanews, Apr. 7 - Sina Corporation learned from an informed source that
China is expected to allow foreign investors to run 3G businesses in the
mainland so as to support the development of its own 3G standard
TC-SCDMA. If affirmed, this policy will enormously boost the mainland's
3G development.
This informed source also pointed out that at present a renowned Hong
Kong-based telecom operator has initially confirmed to obtain a 3G
license within this year. However, these words are not confirmed by the
related department of the Ministry of Information Industry (MII).
According to analysis of this informed source, the mainland expects to
learn from the Hong Kong telecom operator's experience in 3G operation to
effectively support the development of TC-SCDMA technology.
Industry insiders point out that another cause for the mainland to admit
foreign operators in 3G development is that 3G development will cost
tremendous investment and face high risks, and introduction of foreign
capital will reduce the risk to a certain degree.
Based on its schedule to open the telecom industry to foreign investors,
in 2006 the Chinese government will gradually remove geographical
restrictions on foreign capital in terms of beeper and cell phone imports
and fixed-line telephone services, and accomplish liberalization of
network services.
An MII spokesman revealed that this year China does intend to introduce
more non-public capital into the fundamental telecom sector and bring
such capital into full play. Nonetheless, foreign investors' real focus
lies in 3G operation which is about to be launched. This year, 3G
cooperation policies are very likely to see a remarkable breakthrough.
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��China ready for 3G development
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