China Telecom and China ComService choose São Paulo to start operations in Latin America
The officer at Investe SP participated in the event which marked the beginning of companies operations in the country
One seminar and one ceremony held this Monday, June 11, in São Paulo, marked the beginning of China Telecom and China Communications Services operations in Brazil. The companies chose São Paulo as the entrance door to operations in Latin America.
More than 100 guests attended the event directed toward announcing companies’ expansion plans to their clients and partners, including Brazilian and Chinese multinationals. “We have invested millions to establish this communication network in São Paulo”, emphasized Donald Tan, the CEO at China Telecom Americas, Donald Tan.
“We recognize the importance of Brazil and of all Latin American market. We are committed to the Brazilian market development, which will be established as the center for our operations in the region”, he affirmed.
The officer at Investe São Paulo, Sérgio Costa, highlighted the companies’ choice for the state of São Paulo by presenting the competitive differentials of the state of São Paulo and making the agency’s free-of-charge services available to all investors. “We are ready to help them establish their business in the state of São Paulo. Sany Heavy Industries and Chery, Chinese companies, counted on our support”, said Costa.
The deputy CEO at China ComService, Xiaoyi Liu; the Consul General of China in São Paulo, Rongmao Sun, and the president at Brazil-China International Chamber of Commerce (CCIBC), Charles Tang, were also present at the event.
About the companies
The China Telecom Group is one of the world’s largest telecommunications network, and it is responsible for two-thirds of all infrastructure of China’s fixed lines. The company employs 600 thousand employees and provides basic telecommunications services such as fixed and mobile phone services and added-value telecommunications services such as internet access services.
In April 2012, the Group had 178 million fixed phone subscribers, 138 million mobile phone subscribers and early 85 million broadband clients.
China Telecom operating revenues for 2011 amounted to nearly R$71.2 billion, an 11% increase compared with 2010. China ComServices operating income, the controlling shareholder of which is the China Telecom Group, reached RMB53.5 billion (R$15.5 billion) for 2011, a 17% increase compared with 2010.
In September 2011, China Telecom received a license from Anatel so as to exploit the Multimedia Communication Service (data voice communication) throughout Brazil, based on the network capacity contracted from other operators. To operate in the country, a subsidiary have been established, China Telecom Brazil, in which one of the shareholders is the company’s largest arm outside China, China Telecom Americas.
The license granted Anatel is national; however, the company’s initial focus is the capital city of the state of São Paulo. The network, which will provide support for the company’s provision of services, will be consisted of Points of Presence (PoP) and Points of Interconnection with other telecommunications networks located in the city of São Paulo.