China Unicom and China Telecom have signed a “strategic cooperation agreement” which will see them share resources, improve efficiency, and accelerate the government’s ‘Internet+’ and ‘Made in China 2015’ initiatives. This will involve working more closely together on network build-outs and sharing to improve coverage and service quality.
China Unicom (SSE:60050) and China Telecom (HKG:0728) have signed a “strategic cooperation agreement” which will see them share resources, improve efficiency, and accelerate the government’s ‘Internet+’ and ‘Made in China 2015’ initiatives.
The state-owned telcos said in a joint statement today that they will cooperate more closely on network deployment and sharing to boost coverage and improve service quality.
“During times of major disasters and emergencies, mutual efforts will be made to help each other’s business recovery with a view to enhancing the ability to safeguard emergency communications,” they added.
The companies will also work to improve handset offerings and promote “six-mode handsets” with “all network access” as a national standard.
They have also agreed to improve network interconnection and to work with overseas operators to improve the quality of international roaming.
In late December, China Telecom chairman and CEO Chang Xiaobing resigned from his positions following an investigation by the country’s Central Commission for Discipline Inspection and ministry of supervision, reportedly for possible corruption amid a broader crackdown under President Xi Jinping involving over 100,000 officials.
Chang had previously served as chairman of China Unicom and held government telecom roles.
He has been replaced on an interim basis by president and chief operating officer Yang Jie.
The state has also led the creating a tower joint venture pooling the infrastructure of China Telecom, China Unicom and China Mobile.
