Daily Stock Setups

China Telecom May Sell BlackBerry soon

Posted on: Wed, 24 Jun 2009 07:56:00 EDT

Symbols: RIMM

Are you looking to increase your ETF knowledge?

SHENZHEN, Jun 24, 2009 (SinoCast Daily Business Beat via COMTEX) --
RIMM | Quote | Chart | News | PowerRating -- Chinese mobile phone users may be able to look beyond China Mobile Ltd. (SEHK: 0941, NYSE: CHL) any time soon when they want to buy a BlackBerry handset.

China Telecom (SEHK: 0728, NYSE: CHA) is reportedly in talks with Research In Motion to introduce BlackBerry mobile phones into China. And the Chinese telecoms carrier now is already testing BlackBerry handsets, but has not finalized the launch date.

Both sides did not make comment on the issue yesterday. But insiders disclose that China Telecom is gearing up for the launch of BlackBerry service bundles aimed at enterprises and government bodies.

As China Telecom is having more advantages over corporate and government markets in China, it will have more leverage to sell BlackBerry handsets well.

In North America, where RIM is located in, the local telecoms market is dominated by the CDMA technologies, which are also adopted by China Telecom, the CDMA 2000 3G licensee. That has laid a solid foundation for the partnership between RIM and China Telecom.

In August 2007, RIM joined hands with China Mobile, the biggest mobile telecoms carrier in China, to bring BlackBerry services to this nation. However, the customer adoption of BlackBerry has been slow for its expensive minimum monthly service plan of CNY 398.

The first batch of BlackBerry handsets were produced by Chinese mobile phone maker TCL. According to the latest numbers released by TCL, it shipped just 9,000 BlackBerry handsets in China between November 2007, when its first shipment happened, and May 2008.

Ushering in the 3G era, Chinese telecom operators have been desperately grabbing market shares by introducing shining, best-selling, computer-like, feature-jammed smartphones.

China Unicom and China Mobile have been holding talks with Apple to introduce the iconic iPhone. China Mobile is also looking to sell handsets powered by Google's Android.

By now, the quarterly sales volume of BlackBerry handsets has topped 7.8 million by now. The partnership with China Telecom will help RIM push for more clout in China's potentially huge mobile phone market.

In March this year, both RIM and China Telecom quashed market rumors that they were negotiating over the operation of BlackBerry services in China.

China Telecom has started trials of the compatibility and performance of BlackBerry handsets and services with its CDMA network. In key cities including Beijing, Shanghai, Shenzhen, and Guangzhou, the Chinese company has begun establishing related systems to enable BlackBerry services to be offered via its network, say insiders.

(USD 1 = CNY 6.83)

Source: www.enet.com.cn (June 24, 2009)

For full details on Research In Motion Ltd (RIMM) RIMM. Research In Motion Ltd (RIMM) has Short Term PowerRatings at TradingMarkets. Details on Research In Motion Ltd (RIMM) Short Term PowerRatings is available at This Link.

More News: Market Updates | Stock Alerts | All Trading News

Disclaimer:

The Connors Group, Inc. ("Company") is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. The analysts and employees or affiliates of Company may hold positions in the stocks, currencies or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities and/or currencies. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. Factual statements on the Company's website, or in its publications, are made as of the date stated and are subject to change without notice.

It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system, and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company's products (collectively, the "Information") are provided for informational and educational purposes only and should not be construed as investment advice. Examples presented on Company's website are for educational purposes only. Such set-ups are not solicitations of any order to buy or sell. Accordingly, you should not rely solely on the Information in making any investment. Rather, you should use the Information only as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments. You should always check with your licensed financial advisor and tax advisor to determine the suitability of any investment.

HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING AND MAY NOT BE IMPACTED BY BROKERAGE AND OTHER SLIPPAGE FEES. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.

The Connors Group, Inc.
10 Exchange Place, Suite 1800
Jersey City, NJ 07302

All analyst commentary provided on TradingMarkets.com is provided for educational purposes only. The analysts and employees or affiliates of TradingMarkets.com may hold positions in the stocks or industries discussed here. This information is NOT a recommendation or solicitation to buy or sell any securities. Your use of this and all information contained on TradingMarkets.com is governed by the Terms and Conditions of Use. Please click the link to view those terms. Follow this link to read our Editorial Policy.