Tough times ahead for China Mobile: I

Sunmmary: the issue of 3G license (news here), the immature domestic standard being assigned to CHL, and no cool handset. All the above combined with the slowdown of Chinese economy is creating a headwind for China Mobile near term growth. China Telecom (NYSE:CHA, the landline operator recently acquired CDMA business from China Unicom) is ramping […]

China Mobile Group got robbed

According to Chinese news, China Mobile’s ultimate parent, the China State Asset Management Co. (CSAM), took 50 billion Chinese Yuan (about 7.30 billion USD) from China Mobile Group (the parent of China Mobile Limited, NYSE: CHL; HKSE:0941), and gave it to China Telecom. For CSAM, this is merely put money from left pocket to right […]

China Telecom Revamp

Players: foreign investment bankers, Chinese goverment The motivation of Foreign investment bankers: pump and dump, make money from the warrants (options) in Hongkong market. Chinese goverment Goverment usually does not know economy or business, just look at Bush admin you will know. In China goverment plays two roles in telecom revamp: as regulator and as […]

Is China Mobile CHL still a buy?

The re-org of China telecom/wireless industry started officially, with the China Mobile Group acqusision of China Railway Telecom (Teitong), a small fixed line operator. The news drove down the stock price of China Mobile (0941.HK, NYSE:CHL) sharply lower today. Many pundits, speculators and short term investors are worrying the golden (monopoly) days of China Mobile […]

Why China Mobile CHL is a buy: IV

Two important news about China wireless arena yesterday. 1) China Mobile finally started the long awaited trial of TD-SCDMA 3G network (read Chinese news story 1 , and 2 from XinhuaNet). Some features of 3G include the video conference/phone, TV program, etc. 2) The new (lower) roaming fees takes effect. I think 2) may have […]

Why China Mobile CHL is a buy: III

There were some big news in the US wireless arena last week. Verizon and AT&T won the auction of some new wireless spectrum, Google did not win the spectrum (see the details at NYTimes). Do you know how much Verizon paid for the new spectrum? $9.6 billion. Imagine a similar scenario in China, how much […]

Why I think China Mobile is a buy: I

First a bit background. Re-org of China telecom industry All the big players: China Mobile 中国移动 (CHL), China Netcom (CN), China Telecom 中国电信(CHA) and China Unicom 中国联通 (CHU), are majority owned by the state. In the widely anticipated re-org plan, the goverment will try to create more competition in wireless arena (right now CHL is […]