Chunghwa plans 3G, broadband investments in China

01 Dec 2006

(Associated Press via NewsEdge) Taiwan's Chunghwa Telecom is mulling an investment in China's broadband Internet and 3G mobile services, the company's chairman has said.

China is expected to open its telecommunications market to foreign investors to meet its requirements as a new member of the World Trade Organizations.

Beijing is also expected to award 3G licenses to foreign firms next year.

The mainland considers the island to be part of its territory and has threatened to use force to bring it back into the fold.

Taiwan now bans infrastructure investments by Taiwanese telecom companies in China, but can be expected to relax the restrictions under pressure by businesses hoping to cash in on the massive business opportunities in China ahead of the 2008 Beijing Olympics games, said Ho Chen Tan, who heads Chunghwa Telecom, the island's sole integrated telecom company.

'We want to invest in telecom infrastructure in China, like delivering broadband, and may set up joint ventures or invest directly in local operators,' he said in an interview Wednesday with the Dow Jones Newswires.

'An experienced operator like us can also provide technical support for 3G,' he said.

Taiwan's government has a 35.6% stake in Chunghwa.

Ho Chen said Chunghwa Telecom's board will finalize an investment budget for 2007 in December, which will include funds for various investments as well as mergers and acquisitions. He declined to give specific details.

At present, Chunghwa Telecom provides roaming services in China, but next year it will cooperate with China Telecom to allow its subscribers living in China to access Chunghwa's Hinet Web site.

© 2006 The Associated Press

© 2006 Dialog, a Thomson business. All rights reserved

Related content

Follow Telecom Asia Sport!
No Comments Yet! Be the first to share what you think!
This website uses cookies
This provides customers with a personalized experience and increases the efficiency of visiting the site, allowing us to provide the most efficient service. By using the website and accepting the terms of the policy, you consent to the use of cookies in accordance with the terms of this policy.