Monday, April 16, 2007

Netcom In, Telecom Out

4/16/2007, Although China Telecom and China Netcom today won the local bidding of Chinese e-government backbone network services order at the same time, they didn't get the same success in overseas market.

For China Netcom, after they build Japan branch last month, they just applied for a licence in Japanese telecom market. Up to now, Netcom has 4 overseas branches located in Hongkong, US, Europe and Japan. Netcom also has 8 POPs located each in LA USA, Anahiem USA, SanFrancisco USA, Newyork USA, London UK, Frankfurt Germany, Tokyo Japan.

But In Saudi Arab's 2nd fixed line service licences applying, China Telecom failed to enter 2nd round with PCCW from Hongkong, and Verizon, Bahrain Telecom. No one knows the reason why China Telecom failed this time, but like the same failure of China Mobile on Millicom last year, it shows there is still long way before Chinese carriers on successful overseas market developing. They didn't prepare well for this.

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