China Telecom to launch telecom services in Europe; U.S. next

January 12, 2012 by Giulio Prisco

China Telecom expands in Europe

China Telecom is reportedly launching mobile services in the U.K., the first time a Chinese telecom operator has launched MVNO services outside China (an MVNO is a mobile operator that sells services directly to its customers but does not own any of the infrastructure), according to China Tech News.

The service will target Chinese residents and visitors in the UK, starting in the first quarter of 2012.

M.I.C. Gadget says the Chinese telecom industry is planning to expand into more European markets, starting with France and Germany. And China Telecom also said it wants to break into the U.S. market via a leased network, CNET reports, highlighting China’s growing global clout and ambitions.

China Telecom could look to roll out a stateside MVNO service by entering into agreements with either Sprint or Verizon, as both of them operate networks that run on the same CDMA technology as China Telecom’s, analyst firm TREFIS reports.

The “Big Three” Chinese mobile vendors — China Mobile ( CHL ), China Telecom ( CHA ) and China Unicom ( CHU ) — together operate a “colossal oligopoly in the world’s largest telecommunications market… [with] over 800 million customers,” says NASDAQ News.