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 DEVELOPMENT OF CHINA'S INDUSTRY |
| Total telecommunications business and revenue in 2006 grew by 25% and 11% respectively, similar to the same periods in 2005. Telecom businesses developed at different rates with remarkable revenue structural change. Mobile Communication and fixed data communication grew by 18.5% and 24.6% respectively compared to last year, much higher than the overall revenue growth rate, accounting for 47.3% and 7.9% of the total revenue, up 2.83 and 0.84 percentage point compared to 2005. |
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| STATUS OF FOREIGN INVESTMENT |
| According to the statistics released by Ministry of Commerce, in 2006 there were 8 projects using foreign investment in telecom industry, up 33.33% over the same period of the previous year. The actually used foreign capital amount was 0.45 million USD, down 91.4% under the previous year. |
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| COMMITMENTS TO THE WTO AND INTERNATIONAL PRACTICES |
| As for the Paging Services, Foreign Service suppliers will be permitted to establish joint venture enterprises, without quantitative restrictions, and provide services in and between the cities of Shanghai, Guangzhou and Beijing. |
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| DEVELOPMENT OF GLOBAL INDUSTRIES |
| In 2006, the development tendency of telecom industry is that the share of data service income is increased, and the share of phone service is declined. In addition to the convergence of the whole industry, each telecom carrier makes overall reform in management strategy in a strategic level. Meanwhile, convergence becomes the main rhythm of 2006 telecom industry. The carriers develop new convergence services one by one. |
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