China Telecom and France’s Alcatel have signed a framework agreement for the roll out of broadband Internet access services through China Telecom’s countrywide fixed line network.
Under the deal, Alcatel will work with China Telecom to upgrade the company’s copper wire infrastructure in order to provide broadband DSL services.
The financial terms for the deal have not yet been disclosed.
Subscription take-up for broadband Internet access through cable television networks in China has been less than stellar due to regulatory turf wars between China’s State Administration for Radio, Film and Television (SARFT) and the Ministry of Information Industries (MII). SARFT has regulatory control over all broadcast networks while the MII is in charge of telecommunications infrastructure.
The convergence issue has led to unclear regulatory delineation between cable and telecommunication networks.