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China Telecom Invites Bids for IPTV STBs

Lmtw.com, 6/16/08

On June 13, China Telecom (NYSE: CHA; 0728.HK) launched a unified bidding process for 574,000 IPTV 2.0 terminals. The bid covers 536,000 standard-definition terminals and 38,000 high-definition terminals and requires the H.264 encryption standard for video compression. China Telecom set this figure after consulting with its provincial branches on their growth plans for IPTV usage. The bidding is taking place through a unified framework managed by China Telecom, while each province is involved with its own procurement. Only Guangdong Telecom will not be ordering any terminals, as its IPTV platform will not be upgraded to IPTV 2.0 this year.

China Telecom's bidding process is taking place against a backdrop of ongoing IPTV 2.0 tests. The potential bidders are the companies participating in the IPTV 2.0 test process, and the equipment must be compliant with IPTV 2.0 standards. The goal of a unified bidding process is to break collusion between terminal and system manufacturers, promote competition and lower costs.

Keywords: HD 0728.HK bidding CHA China Telecom Guangdong Guangdong Telecom H.264 IPTV procurement standard telecom television

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