After months of rumors, Datang Mobile CEO Tang Ru'an has been sacked.
The decision to fire the 46-year-old was taken by senior officials at the company's major shareholder, the state-owned Chinese Academy of Telecommunications Technology (CATT), China Times reported.
Speculation about Tang's departure had been around for some months. He was close to former Datang Telecom Group chairman Zhou Huan, and his position has been seen as under threat since new chairman Zhen Caiji took over last year and as reports emerged over differences over company strategy between the two.
Tang has been opposed to Zhen's reorganization plan, which would involve breaking up TD-SCDMA equipment specialist Datang Mobile.
It is understood the news has been kept secret, with only a handful of senior officials at CATT taking part in the decision. Tang could not be reached for comment.
Tang has other posts, including - ironically - deputy head of CATT, and vice-president of the Datang Technology Group. Both positions are appointed by assets management agency SASAC and Tang, a SASAC former senior cadre, is likely to keep them.
Tang's sacking has sparked off fresh bouts of speculation, this time about the Datang Group's long-mooted reorganization. With one of the major opponents sidelined, the restructure of the struggling chips, wireless and military communications group surely looms closer.