More Than Just Fun and Games: Value-added Telecom Services In China

June 02, 2002 | BY

clpstaff &clp articles

Baker & McKenzieFrom jokes and weather forecasts to stock market highlights, short message services (SMS) and other wireless value-added services are…

Baker & McKenzie

From jokes and weather forecasts to stock market highlights, short message services (SMS) and other wireless value-added services are gaining popularity in China. Realizing the revenue potential of SMS, the country's two mobile network providers, China Mobile and China Unicom, announced that from May 1 SMS interconnection between subscribers of the two networks will be available nationwide. Analysts anticipate that the growth of SMS will lead to demand for more advanced mobile multimedia services in China, bringing with it the convergence of communications, data and entertainment services.

Clearly, the China market is still some way from this level of sophistication. National regulations governing the provision of value-added telecommunications services have yet to be put in place. However, the Beijing Municipal Communications Administration (BCA) has been quick off the mark in releasing the Provisional Measures for Administration of Mobile Network Value-added Telecommunications Services in the Beijing Area (the Provisional Measures) on December 12 2001, and effective on the same date.

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