Subject: [NEXTEL-1] China Satcom & Nextel talking

From: NEXTEL-1
Date: Fri, 16 Jul 2004 11:49:02 -0400

China Satcom & Nextel talking

China Satcom Sets for PTT 

16 July 2004
SinoCast China IT Watch
Page 1
English

CHINA, July 16, SinoCast -- As the six-largest operator in China's 
telecom industry, China Satcom is now hoping to start its own 
business in the mobile telecom sector by purchasing digital trunk 
networks and providing the PTT-push to talk- services. 

On July 7, according to an insider close to China Satcom, the 
telecom carrier was aggressively holding talks with Guangdong-based 
Zhongren Enterprise (Group) Co., Ltd. and the Telecommunications 
Construction Office of People's Liberation Army (TCO), expecting to 
purchase optical networks of the parties. 

A senior executive from Yangtze Optical Fiber and Cable Company Ltd. 
disclosed that Zhongren Enterprise has more than 50,000 square 
kilometers optical networks and TCO about 20,000 square meters. 

Zhang Hainan, general manager of China Satcom, recently visited US-
based wireless telecom carrier Nextel and discussed the possibility 
of co-establishing a joint venture with Nextel. The planned joint 
venture was being reviewed by the Ministry of Information Industry 
of China, which would be specialized in providing digital 
communications services. 

In March 2004, along with China Telecom, China Unicom, China Netcom 
and China Railcom, China Satcom received the permission from the 
Ministry of Information Industry on trail operation of digital trunk 
networks. And China Satcom has built up 800MHZ digital trunk 
commercial networks in Tianjin, Jinan, and Nanjing, each city has a 
capacity of 50,000 numbers. 

Since the first day of its foundation, China Satcom had been granted 
with the operating license of fixed line telephone in Chongqing, 
Qingdao, Wuhan, Nanjing, and Xiamen. 

>From purchasing Unicom Guomai-a subsidiary of China Unicom to 
entering the digital trunk sectors by joining hands with foreign 
telecom counterparts, China Satcom is expanding to the civil telecom 
area besides its traditional satellite-based main businesses. 
However, in the absence of ground networks, the civil fixed line 
telephone business of China Satcom has never been kicked off up to 
now. 

In June 2002, China Satcom purchased 50% of Oriental Satellite 
Communications, a branch under direct administration of China 
Satcom, in the hope of establishing a new joint venture with 
Oriental Satellite by integrating the segments of value- added 
telecom business and satellite and ground communications equipment 
of China Satcom and Oriental Satellite Communications. 

Besides the fixed line telephone, China Satcom has been trying 
hardly to improve IP(Internet phone) business. It has set up 
branches in many big cities around the country. 

As a state-owned backbone enterprise newly built according to the 
arrangement and requirement of the national telecom restructuring, 
China Satellite Communications Corporation, one of the six basic 
telecommunications operators in China, was founded on December 19, 
2001, under the management of the Ministry of Information Industry. 
The establishment of China Satcom was a major strategic move aimed 
at deepening the reform of China's telecommunications industry and 
setting a new start point for further development of satellite 
communications. Specially designated in the state financial plan, 
China Satcom has had its long-term and annual development plans 
incorporated into that of the central government. The member 
enterprises of China Satcom include China Telecommunications 
Broadcast Satellite Corp., China Orient Telecommunications Satellite 
Company Co, Ltd., China Space Mobile Satellite Telecommunications 
Co, Ltd., China Posts & Telecommunications Translation Service Corp. 
and China Telecom (Hong Kong ) Chinasat Corp.

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