China landline phone service providers to get mobile licenses

Chinese government now plans to allow its fixed-line telecom operators to launch mobile services in the market.

Xi Guohua, vice minister of information industry was quoted as saying in the media: “The rapid development of mobile telecom services had lured away subscribers of fixed-line services.”

China now plans to grant fixed-line operators licenses for mobile telecom services.

This is great news for operators like China Telecom and China Netcom who are facing a slowdown in the subscriber growth as most new customers are preferring to get mobile connections only.

China has around 523.3 million mobile users compared to 371.7 million fixed line users.

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