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China Telecom May Sell BlackBerry soon

Wed. June 24, 2009; Posted: 07:56 AM
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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) click here. Research In Motion Ltd (RIMM) has Short Term PowerRatings of 5. Details on Research In Motion Ltd (RIMM) Short Term PowerRatings is available at This Link.

    


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