Get the free version of Marbridge Daily delivered to your inbox

Click here to subscribe

China Mobile to Increase Handset Subsidies, Lower Capex, 3/20/09

At China Mobile's (NYSE: CHL; 0941.HK) 2008 financial results conference, Xue Taohai, financial director and deputy general manager of the company, said that for each of the past few years China Mobile has managed to keep handset subsidies under RMB 8 bln. Last year, the company provided RMB 7.4 bln in handset subsidies to 12 mln subscribers, and this year the company expects subsidies will be over 60% higher, up to a total of RMB 12 bln.

This year, China Mobile also expects capital expenditure to reach RMB 133.9 bln, slightly lower than last year's RMB 136.3 bln, and this figure will continue to decline in 2010 and 2011 to RMB 131 bln and RMB 110.5 bln respectively. 76% of this year's capex was invested in 2G and 3G shared resources, while 24% was dedicated to 2G networks. 30% of capex was spent in urban areas and 70% in rural areas.

Keywords: 0941.HK 3G capex China Mobile CHL rural wireless Xue Taohai subsidy mobile phone


Please note, all fields are required.
None of your personal information will be shared with third parties.


Marbridge Daily Premium

Interested in gaining full access to all newsletter articles and the Marbridge Daily archive? To learn more about premium subscription options, including pricing, please:

Click here

Marbridge Consulting RSS Feed

Marbridge Reports