World Telecom Day on May 17 will not see China start to issue its long-awaited third generation (3G) wireless communication licenses, the Ministry of Information Industry insisted Monday.

Ministry spokesman Wang Lijian was quick to dismiss media reports to this effect as "groundless."

"We don't have a set timetable for the issuing of 3G licenses," said Wang, who refused to elaborate.

Reports over the weekend claimed that the Chinese Government would speed up the issuing of the licenses, which had been expected later in the year.

The government is still conducting tests on all the three 3G standards -- the homegrown TD-SCDMA (Time Division Synchronous Code Division Multiple Access), European-based WCDMA (Wideband CDMA) and US Qualcomm-based CDMA2000.

Sources closed to the ministry said the tests will conclude next month.

"This year, we will work out a special project focusing on 3G development and make suggestions," reaffirmed Wang Jianzhang, director of the ministry's Comprehensive Planning Department, during the 2005 Working Conference for the Electronic and Information Industry held at the weekend.

This message echoed Information Industry Minister Wang Xudong's remark early in January that "in collaboration with related government sectors, we are to make suggestions for the development of 3G for decision at an appropriate time this year."

Chen Jinqiao, director of the China Academy of Telecommunications Research under the ministry, said he believed that the ministry is beefing up its 3G development strategies for this year by focusing more on 3G-related issues.

Both domestic telecom operators and equipment providers from home and abroad have been crying out for 3G development since last year, as they are betting on the massive potential offered by this in China.

Analysts said they believe that delaying the issue of 3G licenses was mainly to help the domestic TD-SCDMA catch up with the other two 3G standards.

The TD-SCDMA system is scheduled to be commercially released in June.

CDMA2000 and WCDMA are already well established and growing, so far registering a total of more than 156 million subscribers, and are operated by 125 operators in 56 countries and regions.

(China Daily March 29, 2005)