Rumours suggest major carrier shake-up

15 Jan 2008

The South China Morning Post writes that the Chinese government is planning a major restructuring of the country’s telecoms sector, to create three ‘mega operators’ that will each own fixed and wireless network assets. Under the plan fixed line telco China Netcom, which claimed 114.93 million lines in service at the end of 2006, will take on the GSM business of China Unicom, which claimed 116 million customers at the end of September 2007. Wireline giant China Telecom, which had 223 million fixed lines in service at the end of 2006, will acquire China Unicom’s CDMA wireless business, which has 40.1 million subscribers (September 2007), while China Mobile, which had almost 350 million subscribers at the same date, will merge with national fixed network operator China TieTong.