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China Telecom of Chayna Telecom

Company

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China Telecom is the Chinese state telecommunication company, she is the largest telephone operating company and the third largest cellular operator in China. In Russia the China Telecom branch is also open.

Assets

+ China Telecom (Chayna Telecom)

Business of China Telecom in Russia

2019

Start of the communication center in Moscow

China Telecom (Europe) of Ltd (CTE) announced on December 18, 2019 that it started the communication center in Moscow. CTE, the European division of China Telecom, is going to implement a creation initiative, joint with the Russian business, of "A digital silk way" — the high-quality and high-speed managed communication network distributed broadband in Europe and Asia.

The purpose of an initiative is overcoming geographical and commercial boundaries between China, Europe, Central Asia and North Africa. Development of B2O-, B2B-, B2G-of projects and affiliate programs also is a part of strategy implementation.

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As we begin to cooperate more closely with the Russian enterprises within implementation of an initiative of "A digital silk way", we are guided by the partners conforming to the highest standards of business. For our communication center CTE selected DataSpace as the operator of a data processing center from Moscow, - Cao Li, the managing director of CTE reported.
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It is supposed that DataSpace will provide base for crucial IT infrastructure and telecommunication assets of the Chinese, Russian and international companies.

China Telecom opened the first regional office in Russia

One of the largest operators China Telecom of China opened in September, 2019 office in Vladivostok. The company is going to expand the customer base in B20, B2B, B2G segments and to develop the projects in the directions of the smart city, digital state, IoT, the smart house, etc. Experts insist that it is necessary to save digital sovereignty and to implement projects on construction of information infrastructure, giving a priority to partnership with domestic telecom operators, data centers and service providers.

The created representative office of China Telecom in Vladivostok became the second in the territory of Russia. In 2012 the company dug out office in Moscow and founded the separate legal entity – Chayna Telecom LLC. According to "Картотека.ру", the structure for 99% belongs to Hong Kong "Chayna Telecom Global Limited", and 1% is owned by British "Chayna Telecom (Yurop) Limited, Tsyganov Alexander appears the CEO. And, according to the chief representative of Chayna Telecom Ma Guani, China Telecom is the first Chinese telecom operator, entered the Russian market from the moment of organization of the legal person.

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China Telecom does not open what will be structure of new office who will enter there and what volume of the enclosed investments into its creation. The area director Piao Tengfei under the direction of the Moscow office will head the Far East representative office of China Telecom. From the moment of Chayna Telecom organization the company paid much attention to the organization of new cross-border connections of networks with the Russian partners, Ma Guani noted. "Now exist as direct connections in Suifenhe, Heihe and Manchuria, and indirect, en route through Mongolia and Kazakhstan. Chayna Telecom has necessary licenses for business in the field of local communication, own communication hubs in Moscow and Vladivostok which give the chance to provide complex information services for the Chinese and Russian companies are built", – Ma Guani told.[1]
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According to the deputy CEO of China Telecom (Europe) Yu Yuan, the company accumulated rich practical experience in implementation of large projects in the directions of the smart city, digital state, IoT, the smart house, etc. "China Telecom also actively participates in construction of "A digital silk way". Gradually the broadband, multi-address, high-quality managed communication network of Eurasia forms. Russia is one of the closest countries of the project. We hope to share opportunities of digital, network and intellectual development with the Russian Government and the enterprises jointly to construct "A digital silk way" and to share fruits of digital economy", - Yu Yuan commented on an event.

Business of China Telecom in the world

2021

Implementation of service of quantum enciphering of calls

At the beginning of January, 2021 the Chinese telecommunication company China Telecom announced start of the pilot program within which users of smartphones will be able to make calls using algorithms of quantum enciphering. The new service from China Telecom is available in the Province of Anhui, initially only the elected clients will be able to use it.

China Telecom stated that the new service at first will be available to users who need "absolute security", it is about the government, military and financial to organizations, in the future the service will be expanded to civil use. The quantum cryptography differs from traditional encryption algorithms in the fact that any attempt of interception of data will cause physical change of the message, the sender and the receiver will be warned about possible listening.

The Chinese mobile operator China Telecom implemented quantum enciphering of calls

According to the Chinese operator, in the course of commission of the protected call generation of two secret keys using "a quantum information technology" is performed. Keys are used for check of the identity of the one who initiates a call, and information on a call, providing end-to-end enciphering.

To use new service the elected users need to replace the normal SIM card with special and also to install the Quantum Secure Call application which is meanwhile available only to Android smartphones. The mobile operator did not disclose the cost of service of quantum enciphering of calls.

The joint venture created by China Telecom and quantum telecommunication company QuantumCTek Group was engaged in development of new service. The chief executive of China Telecom Liu Guiqing said that the company aims to ensure quantum safety of calls of more than 10 million mobile users within the next 5 years. The companies also stated that special phones with functions of quantum enciphering which development already began will release.[2]

Delisting of actions with NYSE

At the beginning of January, 2021 New York Stock Exchange announced the fast termination of the stock trading of the Chinese telecommunication operators China Mobile, China Telecom and China Unicom Hong Kong. The procedure of delisting is started, the exception of quotations of NYSE of the specified companies will take place during the period from January 7 to January 11, 2021. In more detail here.

2020: China Telecom opposed prohibition on work in the USA

The American division of the Chinese state telecommunication company China Telecom urged the Federal commission on communication of the USA (FCC) not to revoke in the summer of 2020 the license for providing the international telecommunication services by the company in the United States, local mass media reported.

The U.S. Department of Justice and other departments in April appealed to FCC about a withdrawal of permission of China Telecom (Americas) for work in the territory of the USA, referring to reasons of national security.

China Telecom called these claims "unreasonable" and stated that FCC should not refuse to it the right to work in the United States "only on the basis of foreign policy reasons in the absence of any concrete proofs of illegal behavior".

2018: Tests of 5G network

On September 17, 2018 the China Telecom company announced start of tests of 5G network in 17 cities of China. According to the company, measures are directed to acceleration of full start of commercial use of technology to the People's Republic of China. Terms and the cities of carrying out test start for September, 2018 are not specified.

According to the top manager, China Telecom is also going to create the innovation centers 5G for acceleration of research and development in the field of communication technologies of the next generation. In plans at China Telecom - to perform full-scale commercial start of technology in China by 2020.[3]

2017: Expansion of strategic partnership with Orange Business Services in the field of IoT

The international service provider Orange Business Services and telecommunication operator China Telecom of China announced at the beginning of July, 2017 expansion of strategic partnership in the field of Internet of Things (IoT). Joint efforts of the company expect to render services to the corporate customers in Asia, Europe and Africa at once. As envisioned by partners, clients both China Telecom, and Orange working at different continents will be able to unroll the networks of Internet of Things and M2M (Machine-to-Machine) in networks of other operator. In more detail about it it is possible to read in the questionnaire of France Telecom Orange company.

2015: Charge of the head of corruption

At the end of December, 2015 the Chinese authorities accused of the Chang Xiaobing corruption, the head of the state mobile operator China Telecom — the third in size a subscriber base in Celestial Empire. Against the background of the burst scandal of quotation of telecommunication company fell.

According to the Bloomberg agency with reference to the statement of anti-corruption division of the Communist Party of China (Central Commission for Discipline Inspection), Chiang Syaobin is suspected of severe disciplinary violations, including of corruption. The special commission of the Communist Party began investigation which parts are not disclosed. Based on checks the decision on case referral to judicial authorities will be made.

The head of China Telecom Chiang Syaobin is under examination on suspicion of corruption

The nature of charges of the head of China Telecom is not specified. It is known that the authorities of Celestial Empire were going to integrate this the companies with other large mobile operator — China Unicom which was directed earlier by Chiang Syaobin. According to media, investigation belongs to  the period of its work in  China Unicom.

China Telecom confirmed that Chiang Syaobin is under examination, however noted that the company continues work in the normal mode. This statement did not calm investors: On December 28, 2015 stocks of the operator at the exchange in Hong Kong went down in price for 3%, and according to the results of biddings recession was 1.6% in comparison with December 25.

With  coming to power in  2012 of the Chinese President President Xi in the country the large-scale campaign for   fight against corruption began. In 2015 it was arrested several high-ranking officials and entrepreneurs. So, in October the former head of the China National Petroleum Company oil and gas company, largest in China, Jiang Zemin was sentenced to 16 years of imprisonment for taking of a bribe and abuse of power.

In 2014, according to the Supreme national prosecutor's office of China, more than 4 thousand government employees were taken to court and found guilty of bribery and embezzlement.[4]

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