China Unicom to Start 3G Commercial Services on Sep 28

China Unicom (Hong Kong) Limited (NYSE: CHU, HKSE: 0762 and SHSE: 600050) is to kick off 3G commercial services in 285 cities on September 28, 2009, an executive for the Chinese telecom carrier disclosed on September 14.

The 3G commercial use means that the nation's top three integrated telecom operators, including China Mobile Ltd. (SEHK: 0941 and NYSE: CHL), China Telecom Corporation Ltd. (NYSE: CHA and SEHK: 0728), as well as China Unicom, will essentially start competition in the 3G arena, pointed out industry watchers.

Earlier, China Mobile and China Telecom both strived to enrich their 3G mobile phone models while China Unicom was also under the spotlight because of its terminal strategy, particularly the introduction of the sparkling iPhones.

China Unicom inked agreements with Apple on August 28, brewing to launch iPhones in the Mainland China in the four quarter of 2009. The company now is making preparations for the launch of iPhones, such as supply organizing, negotiations on distribution channels, and sale training, said another executive for China Unicom.

China Unicom has well prepared for the value-added applications of iPhones, added the insider. Apple's App Store and China Unicom's value-added service platform will coexist on 3G-supproted iPhones introduced by China Unicom. Users can purchase application products in App Store and pay by credit cards. In addition, they can obtain value-other added services via China Unicom's platform.

Apart from iPhones, more WCDMA mobile phone models will hit the market in future. China Unicom is expected to launch six to seven well-established WCDMA mobile phone models before the end of this year.

China Unicom wholly-owned distributor Unicom Huasheng Telecommunications Technology Co., Ltd., mobile phone retailer D.Phone, and Japan-based mobile phone maker Sharp jointly unveiled an all-new 3G mobile phone model, 0902C, on September 10. The 0902C is a tailored mobile phone model jointly pushed by Sharp and Unicom Huasheng Telecommunications Technology Co., Ltd.

A smart phone model of Chinese telecommunications equipment and network solution provider ZTE Corporation (SZSE: 000063 and SEHK: 0763) also won a big order from China Unicom on the same day.

Moreover, China Unicom has fixed its terminal subsidy policies. It will subsidy all 3G terminals after the 3G commercial use, said the person in the know.

China Unicom started 3G trial commercial use in 56 cities on May 17, the World Telecommunication day. Sa far, it has had 350,000 WCDMA users.

Source: www.163.com (September 15, 2009)

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