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October 01, 2010

China Telecom Cast its Eye on the Overseas Managed Services Market

By Anuradha Shukla, TMCnet Contributor

China Telecom Corp. Ltd is looking outside the country to search for opportunities for mergers and acquisitions.

According to, Deng Xiaofeng, chairman and general manager of China Telecom (News - Alert) (Hong Kong) International Ltd., said that the slow expansion in the Chinese mainland was the primary reason why the organization decided to look outside the nation.

They find the time just right to expand overseas and also intend to build a communication cable that connects China and India with three Indian telecom operators, including Reliance Communications (News - Alert), Tata Communications and Bharti Airtel.

China telecom told the press that it intends to establish a representative office in New Delhi the things will set to roll as soon as the company clears approval from the Indian government.

Typically, companies acquire telecom networks in India or take a stake in local telecom operators, but China telecom has decided to take another stance and decided to provide services to consumers in the country in partnership with them.

In related news, China Telecom recently announced its intentions to pour CNY 200 million for setting up two data centers- one each in Hong Kong and Singapore. In addition, the company will also search opportunities to establish such data centers in other nations Japan and Australia.

China Telecom also intends to establish a second network data center in the SAR in 2011.

Anuradha Shukla is a contributing editor for TMCnet. To read more of her articles, please visit her columnist page.

Edited by Juliana Kenny

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