China Mobile has added another four major telecommunications
makers, including two foreign ones, to its list of possible
equipment contractors and suppliers for its third generation
network worth 20 billion yuan (US$2.56 billion), sources said
yesterday.
The four telecom firms are Ericsson, Alcatel Shanghai Bell,
FiberHome Technologies and Guangzhou New Postcom Equipment Co,
according to media reports. They joined Datang Mobile, Potevio, ZTE
and TD Tech.
The eight hope to be heavily involved in China Mobile's TD-SCDMA
(time division synchronous code division multiple access) network
construction.
China Mobile plans to set up TD-SCDMA networks in several major
cities nationwide soon to ensure 3G services are available in time
for the Beijing Olympic Games in 2008.
China Mobile's final investment figure hasn't been decided
because the carrier submitted three different investment budgets to
government regulators, Wang Jianping, a research director of the
China Center of Information Industry Development, told Shanghai
Daily. The center is authorized by the Ministry of Information
Industry.
The investment budgets range from 16 billion yuan to 28 billion
yuan, industry officials said.
ASB, a joint venture controlled by France-based Alcatel,
confirmed it is one of the telcos on the list, the firm said
yesterday. Ericsson China and China Mobile declined to comment
yesterday.
"The equipment makers are key players in the 3G industry chain
and they will be the first to benefit from 3G," Wang said, adding
that investment in 3G-related equipment will reach 50 to 60 billion
yuan annually in the next five years in China.
China, the world's No. 1 mobile phone market, is expected to
issue the first 3G license for its own-developed TD-SCDMA to
support the home-grown industry, analysts said. Licenses will be
issued later for two western-developed 3G technologies, they
said.
Foreign firms have deepened cooperation with Chinese firms on
the TD-SCDMA technology. ASB partnered Datang Mobile and Nokia
joined Potevio.
(Shanghai Daily March 9, 2007)