China telcos ending domestic roaming fees

China Telecommunications, China Mobile Communications  and China United Network Communications, are planning to totally remove domestic inter-province roaming fees by October, Reuters report.

The three state owned telco companies are focusing instead on offering pricing incentives to SMEs, in a move to encourage corporate customers to adopt network technology such as cloud computing.

This move includes their Hong Kong counterparts, namely China Telecom, China Mobile and China Unicom Hong Kong. The Hong Kong subsidiaries will also have discount pricing schemes for businesses.

The Chinese government has been making an effort to lower telecom fees to encourage more consumer spending, reduce corporate OPEX, and attempt to put more support to encourage enterprise to integrate their operations with network technology. The government hopes to increase efficiency and capacity in traditional industries.

They have also approved applications from private enterprises wanting to market and sell telco services, as a move to encourage price competition within the telecom sector.

According to Reuter’s report, the Ministry of Information Industry and Technology has approved applications to provide broadband internet services from 198 private enterprises under a pilot project. The number adds to approvals for 42 enterprises to resell mobile network services starting from 2013.

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