Korean operator SKT (SK Telecom) has agreed to buy a 6.67% stake in China Unicom for US$1 billion and form a strategic alliance with the Chinese operator. The two firms had already formed a joint venture UNISK for CDMA value-added services in 2004. Under the new strategic alliance framework, they will further cooperate in CDMA handset sourcing, value-added services, marketing, IT infrastructure, and network businesses. This alliance also grants SKT exclusive partnership with China Unicom in the Chinese CDMA market until the end of 2007.