China Mobile Approved to Set Up Subsidiary in Taiwan
May 14, 2010
Chinese mobile operator China Mobile has obtained the official approval to set up its subsidiary Zong in Taiwan, according to a Chinese-language Economic Daily News report on May 12. China Mobile has therefore become the first Chinese telecom operators to establish presence in Taiwan. However, China Mobile is not yet able to invest in Taiwan's telecom sector as such investments are still forbidden by the Taiwanese government. Originally China Mobile has planned to use Zong to acquire a 12% stake in Taiwanese mobile operator Far EasTone Telecommunications, which has been engaged in collaboration with China Mobile on developing a TD-LTE (Time Division Long Term Evolution) trial network in Taiwan.