China Telecom – the third-biggest mobile operator in China – plans to launch 4G in 100 cities next week, according to Shanghai Daily.
China Telecom, along with rivals China Mobile and China Unicom, was awarded TD-LTE licences in December. Only China Mobile, however, currently offers commercial 4G services in its domestic market.
Shanghai Daily reports that China Telecom will offer 1GB 4G data packages from CNY70 ($11.40) per month, going up to CNY280 for 10GB.
This is a similar level to China Mobile, reports the newspaper.
When China Telecom will launch 4G-enabled smartphones is unclear, but the operator does sell 4G data cards and wireless routers.
China Mobile, meanwhile, which counts over 700 million users, has a range of 4G handsets, including Apple’s iPhone 5S.
Although China Telecom has a TD-LTE licence, it will no doubt be keener on securing an FDD-based LTE concession since the ecosystem surrounding it is much more developed than TD-LTE. It’s not clear, however, when LTE-FDD licences will be awarded in China.
Fitch, a credit ratings agency, believes China’s 4G licensing process may well hinder both China Telecom and China Unicom.
While China Mobile is likely to remain focused on TD-LTE, since it is relatively compatible with its TD-SCDMA 3G network, it’s probable that China Telecom and China Unicom – once FDD LTE licences are awarded – will end up running two 4G networks, leading to capex inefficiencies.
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