Structural imbalance has hindered the development of China's telecom industry in the past. Service provider China Mobile has dominated the mobile market, with profits more than double that of its three competitors combined.

The plan to reshuffle the industry started in May, reducing five state-owned telecom operators into three new giants each with a full range of services.

Reformers hope the restructuring will boost competition and optimize resources. It also paves the way for the development of a 3G high-speed wireless service in China, which will issue three licenses to domestic operators.

The home-grown TD-SCDMA standard has been recognized as one of the three official 3G standards, but the country promises equal status to the other two official standards.

(CCTV October 16, 2008)