Shenzhen Telecom Halts PHS Promotions
News Express, 12/04/08
An industry insider has revealed that as of December 1, Shenzhen Telecom has put a stop to new user signups for PHS service, and ordered PHS handset sales staff to leave service centers and cease all advertising by December 10. The move is meant to stimulate the development of the "E-surfing" brand, and possibly also to free up wireless spectrum for TD-SCDMA.
Another industry insider said that the move was not intended to test the waters for a full cancellation of PHS, but rather a result of PHS in Shenzhen being phased out in favor of CDMA networks; following China Telecom's (NYSE: CHA; 0728.HK) acquisition of CDMA, the source said, a halt in PHS development was inevitable.
In nearby Guangzhou, new user signups, handset sales, and promotional activities for PHS continued as usual.
Meanwhile, competitor Guangzhou Mobile recently introduced a new promotion allowing current subscribers to its TD-SCDMA and post-paid GoTone GSM service who pre-pay RMB 700 in talk fees to purchase a TD-SCDMA card and USIM card for RMB 1.
Keywords: 0728.HK CDMA CHA China Telecom E-surfing GoTone GSM Guangzhou Mobile PHS Shenzhen Telecom TD-SCDMA USIM wireless marketing PAYG
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