Vodafone Plans to Increase its Presence in China

Vodafone, "the world's largest mobile operator by revenue", has plans to use the government led restructuring of the telecoms market to increase its presence in the country. The Chinese government is planning to shake up the local telecoms market as part of the roll out of 3G in country. And Vodafone intends to use its 3.3% holding in leading carrier, China Mobile, as leverage to extend its reach in the world's largest mobile markets.

Vodafone chief executive, Arun Sarin, is quoted by UK newspaper the Financial Times as saying that that the Big V's $13bn stake in China Mobile could be used to take advantage of local opportunities. One of the likeliest options could potentially see Vodafone exchange its holding in Chain Mobile for a bigger stake another company.

However, it is likely that the allocation of 3G licences in China, whenever that happens, will be the only thing to put an end to the rumours, as it will likely be the catalyst for restructuring. The Beijing Olympics in August of next year are seen to be an attractive even to launch 3G services around.

Source: Telecoms.com