China Telecom Plans PHS Strategy

Southern Metropolitan News, 5/30/08

Information from inside China Telecom (NYSE: CHA; 0728.HK) states that the company is in the process of developing several plans to retain its PHS users.

One way would be by allowing PHS users to transition to CDMA networks without changing their numbers (achieved by adding the 133 prefix to existing 8-digit PHS numbers), adding gratis talk time, and bundling broadband and fixed-line services.

Another way would be by upgrading the company's network after it gains a mobile license, allowing PHS users to roam countrywide, and allowing CDMA users to upgrade at the same time to CDMA2000. A source at China Telecom says that if government policy permits, the company would be able to turn on roaming for PHS "within five minutes," as only software adjustments would be needed. The same person revealed that China Telecom policy clearly states that the company "will not give up on and will not abandon PHS."

Keywords: CDMA2000 3G restructuring 0728.HK bundling CDMA CHA China Telecom fixed-line PHS roaming strategy telecom wireless

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