Earlier this year (a few months ago), China Telecom announced that it would buy the CDMA network from its parent company China Telecom Corp for $13 billion. The CDMA network was originally created by China Unicom, and then sold to the state owned telecom corporation, China Telecom corp. With subscription rising 17.1 million users in the past year, the company holds almost 20% of the market share in all of China (including Hong Kong).
This deal works well for both subscribers of China Telecom and the company itself. The company will be able to control future CDMA network decisions reducing the long term risk for China Telecom. For customers, this gives a consolidated provided by the company they are directly from, and thus should increase the reliability of the network.
