To: Maurice Winn who wrote (21820 ) 1/22/1999 2:10:00 PM From: Ruffian Respond to of 152472
More China> China Telecom monopoly to end, four independent sectors planned BBC Monitoring Asia Pacific - Political Text of report by Xinhua news agency Beijing, 22nd January: China's telecommunications giant, China Telecom, is about to undergo substantial reforms, according to 'Shanghai Securities News'. The plan to split the gigantic company into four independent sectors - conventional telephone, mobile communications, satellite data transmission, and paging - is about to get the go-ahead from policy-makers. On the other hand, the cable network, telecommunications network, and computer network are expected to be integrated sooner or later as the telecommunications sector opens up and information technology expands. If this happens, analysts say, it will mean that China has entered the digital world. The telecommunications sector is one of fastest growing worldwide and China's telecommunications industry grew 36.1 per cent last year, far greater than its 7.8 per cent growth overall. But, the longtime monopoly has resulted in inefficiency and high costs in the sector, which proves to be unfavourable to its long-term development. In Beijing alone, telephone installation fees once hit a record high of 7,000 to 8,000 yuan and the average per-minute cost of a long distance international call was about 29 yuan, or six times the cost in the United States. The capacity of the public switch-board telephone network was 100 million lines by 1997, the second largest network in the world. The number of mobile phone users had almost doubled to 22.63 million by November of last year, from 12.23 million in 1997. (Copyright 1999)