China Telecom Looking to Offset Consumer Telecom Declines With Industrial Digitization

China Telecom benefited from the 2008 Chinese telecom reorganization and has made the most of the changes. With the reorganization, the firm received 29 million wireless subscribers from China Unicom. Since then, it has increased its wireless base more than 15 times to 442 million as it leveraged its strong fixed-line franchise. This growth has enabled the business to become more profitable as the network’s fixed costs are spread over a much larger customer base.