China Mobile in talks with Google
By Jonathan Yeung (China Daily)
Updated: 2006-05-19 09:13
China Mobile (Hong Kong), the world's largest mobile phone service provider
by subscriber numbers, is in talks with US online search engine company Google
to provide Internet search services through the China Mobile
"Our second round of talks with Google is under way," Wang
Jianzhou, chairman of China Mobile, said yesterday, without giving any further
Wang said that the mainland currently has about 100 million
Internet users, but the number of mobile phone users has already exceeded 400
"There would be much room for us to further expand our profit
margin if we can really offer the Web searching services to mobile phone users,"
Wang told reporters after the company's annual general meeting
Wang said China Mobile would be able to provide
third-generation (3G) services to its users shortly after receiving a 3G
It's believed the mainland will issue the first batch of 3G
licences this year.
"We are doing a lot of preparation for it and, for
sure, we can provide 3G services to both domestic and overseas 3G users by the
2008 Beijing Olympic Games," Wang said.
As the sole mobile communication
service partner of the 2008 Beijing Olympic Games, China Mobile is currently
reconstructing its second-generation (2G) network.
concentrates on the core network of 2G and after it is completed, the network
will become compatible with both 2G and 3G and therefore will be able to provide
services to 2G and 3G users at the same time," Wang told reporters
According to Wang, China Mobile's TD-SCDMA trial, conducted at
about 100 mobile stations in Xiamen of East China's Fujian Province, went
smoothly. "We expect to get the final test results soon," he said.
home-grown TD-SCDMA is one of three internationally recognized 3G
Although there has been much buzz about 3G, Wang said China Mobile
will continue to serve its 2G users.
"We have more than 4 million new 2G
users joining our network every month on the mainland," Wang said.
2G services such as tone services and short messaging services still account for
80 per cent and 10 per cent respectively of China Mobile's total
Wang said since China Mobile's buyout of China Resources
People's Telephone in Hong Kong, the venture has been running well.
acquisition has generated a lot of synergy between the two firms and the new
venture has been able to cut its operating costs by 50 per cent," he added.
China Resources People's Telephone was the fourth-largest mobile phone
service provider in Hong Kong before becoming a wholly owned subsidiary of China
Mobile this March.
China Mobile saw its share price decline by 3.07 per
cent to close at HK$42.6 (US$5.46) yesterday.
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