By Editorial Team (Friday, 28th December 2007)
China is set to open up its wireless and fixed-line service to competition in 2008, according to news agency Xinhua.
Currently the industry is dominated by four companies: China Telecom and China Netcom operating fixed lines with China Mobile and China Unicom providing mobile networks, but industry minister Wang Xudong has declared that this is hindering the development of the industry.
There has been speculation potential merger by three Chinese telecommunications companies, excluding China Mobile, creating a stronger company which could bid against foreign companies.
Currently each company deals with one aspect of telecommunications and Mr Wang is believed to have said that a full-service business model is now needed in the Chinese industry.
Meanwhile, the Taiwan Market Intelligence Centre has announced that China will soon account for half of the world's mobile phone production and manufacturing for companies such as Nokia, Samsung, Motorola, Sony Ericsson and LG.