MIIT Suspends Dual-Mode Wireless Wireline
National Business Daily, 11/04/10
China's Ministry of Industry and Information Technology (MIIT) recently issued the "Notification Regarding China Tietong's Use of Fixed-Line Telephone Numbers for Wireless Lines." The notice called for a halt to both China Mobile subsidiary Tietong's TD-SCDMA wireless wireline and China Mobile's (NYSE: CHL; 0941.HK) TD-SCDMA/GSM wireless wireline services. China Tietong said it would no longer offer the "one terminal, two numbers" service, but that current users of the service would not be affected. More than one third of China Mobile's 15 mln TD-SCDMA subscribers are wireless wireline users, although only a portion of these are dual-mode wireless wireline users.
A source at China Mobile said that issues of TD-SCDMA wireless wireline policy were essentially a contest between China Mobile and China Telecom (NYSE: CHA; 0728.HK). Industry sources say Tietong is facing new problems after China Mobile's attempt to carve out a niche in the fixed-line market for it failed.
Editor's Note: For more background on this topic, please see "Rumor: China Mobile to Suspend Dual-Mode Wireless Wireline" MD 11/02/10 issue.
Keywords: regulation China Telecom China Mobile China Tietong fixed-line dual-mode TD-SCDMA/GSM telecom wireless wireless wireline MIIT GSM CHL TD-SCDMA 0728.HK 0941.HK CHA 3G mobile subscribers
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