China is reported to be considering allowing a potential fourth entrant into the country's state-controlled telecoms market, and that the new investor would be predominantly from the private sector.
Although all three telecom's networks have listed subsidiaries, the bulk of their shares are owned by the government, who also shook up the industry a couple of years ago by shuffling around their mobile assets to create three separate networks.
Citing unnamed sourced, the Securities Daily reported that the details are still being worked out - and might still involve one of the state-controlled companies being involved in the new venture.
"Inititally there was only one telecommunications company and then it was divided into several firms. Private capital has already invested in this industry for a long time, and it should be further encouraged," Liu Chunru, the deputy secretary-general of the Electronic Science and Technology Committee at MIIT, told the reporter.
"I know of this plan advising on the development of the telecommunications industry and the opening up of the market. It is beneficial to have a diversified telecommunications market, and although this is just a pilot scheme, at least the MIIT is taking a stand" , Zhu Hongbo, vice president of Nanjing University of Posts and Telecommunications said.
Source: Cellular News