Key Telecoms developments in China

For those needing high level strategic analysis and objective analysis on China, here is a key list of the current developments:

  • A reform plan presented to the National People’s Congress in March 2008 for the MII to be given an expanded industry development role in a revamp of China’s central bureaucracy. Under the plan, the MII will be one of five new ‘super-ministries’ under the new shake-up, downsizing the number of top-level agencies from 28 to 27.
  • Continued crackdown by authorities on porn sites until after the Olympics. In 2007, 44,000 porn sites were shut down and over 800 people were arrested. Illegal websites, computer markets and Internet cafes are also targeted as part of a campaign to rein in juvenile crime.
  • The settlement between Yahoo! and the families of two imprisoned Chinese journalists serving 10-year prison sentences for engaging in pro-democracy efforts that the country’s authorities deemed subversive. The move enabled Yahoo! to escape the courtroom. Yahoo! had helped the investigation by providing China’s authorities with personal information culled from the email accounts and other online activities of the journalists.
  • China Mobile’s first move overseas with its acquisition of Pakistani mobile operator Paktel.
  • Clearance for RIM to sell BlackBerry devices in China after eight years of trying. RIM’s move into China comes as it competes in the US with Apple’s heavily hyped iPhone, which is not yet selling in China.
  • Fresh legal action launched by Universal, Sony BMG and Warner in early 2008 against Baidu for allegedly pirating music files. The three companies, which lost a related ruling in December 2007, filed a case with fresh claims against Chinese Internet portal Sohu.com and its search engine, Sogou. Yahoo China also faces proceedings after refusing to comply with a December 2007 ruling by the Beijing Higher People’s Court, which confirmed that the company violated Chinese law by committing mass copyright infringement.
  • The merger between China Satcom and two other state-owned satellite firms Sinosat and China Orient Satellite. The late 2007 planned launch of Chinasat 9 was delayed. The satellite was meant to operate in tandem with Sinosat-2, the country’s first direct broadcast television satellite, but Sinosat-2 failed after its initial launch.

 

For detailed information, table of contents and pricing on our new report: 2008 Asia - Telecoms, Mobile and Broadband in China

 Lisa Hulme-Jones - Senior Researcher China BuddeComm

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