China to Allow Private Companies to Sell Broadband Services
MIIT, 11/26/14
China's Ministry of Industry and Information Technology (MIIT) has announced preliminary regulations for China's broadband industry, soliciting industry opinions on new measures that would allow private companies to invest in and operate broadband networks in China, as well as provide broadband resale services. According to the regulations, private enterprises would be allowed to construct broadband networks stretching from user-end terminals to server-level connections. Licensed private operators will be allowed to lease, sell and resell broadband services to customers under their own brands in certain trial zones.
The first batch of cities slated for private broadband trials includes Shanghai, Nanjing and Qingdao, with trials to be conducted over a three-year period.
Editor's Note: While the regulations make no direct mention of private enterprises providing backbone internet network services, it is unlikely that backbone internet service operation in China would be opened up to non-state-owned-enterprises.
Keywords: broadband telecom MIIT regulation trial private enterprise