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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting

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To: slacker711 who wrote (32093)	2/7/2003 2:49:08 AM
From: slacker711	Read Replies (1) of 197244

China Unicom network upgrade targets high-end users The No 2 carrier sees itself in a much better position to compete with China Mobile by the end of the year technology.scmp.com HUI YUK-MIN Next story -------------------------------------------------------------------------------- China United Telecommunications would be in a much better position to compete for high-end users with rival China Mobile Communication by year-end when the carrier had completed its third-phase code division multiple access (CDMA) network expansion, said a company official. William Lo Wing-yan, an executive director at red chip China Unicom - the SAR-listed arm of China United - said the parent firm's third-phase CDMA network expansion plan would add capacity for 10 million new users, to bring the total capacity to 40 million users. By then the entire network would be upgraded to a CDMA2000 1X network, a 2.5 generation network with faster and larger data transmission capacity as well as voice transmission quality. "Our target is to have our network's quality to be at least at par with China Mobile's GPRS, if not better," Mr Lo said. The No 2 carrier would then be in a better position to compete on level terms for high-end users, he said. China United had signed seven million CDMA users in the first year of operation and was targeting another 14 million users this year. Mr Lo said it was crucial for the No 2 cellular carrier to have a good quality network for both voice and data traffic if it was to be competitive. After the completion of the third-phase network expansion plan, China United's CDMA network's data transmission speed would be a few times faster than China Mobile's general packet radio service (GPRS) network, depending on how many customers were using it at the same time. Rival China Mobile runs global system for mobile communications (GSM) networks and has built a GPRS network - a 2.5G version of its GSM network - in major cities. China United is undergoing a second-phase CDMA network expansion plan, which would double its subscriber capacity to 30 million and upgrade the entire network from a slower 2G network to a 2.5G network. The second-phase plan is expected to be completed by the end of the first quarter and will roll out 2.5G mobile services in the second quarter. The carrier has launched a trial service in Shanghai. With the enhancement of network quality and the availability of multi-media enabled mobile handsets later this year, analysts expect to see competition between the two cellular carriers intensify not just on voice traffic but also on data traffic. China has seen robust growth in mobile data services, with text messages growing by five times in the last year. A Xinhua survey, found 35.1 per cent of mainland mobile phone users sent short messages for Spring Festival greetings.

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