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  • Chinese telecom firm to expand strategic partnership with Spanish Telefonica
    Date: 21-Sep-2007 Sources: (Xinhua Online)

    BEIJING, Sept. 20 (Xinhua) -- Spanish telecom group Telefonica is seeking to establish and expand long-term, strategic partnerships with Chinese telecom companies, Chairman and CEO Cesar Alierta said here Thursday.

    Alierta made the remark when meeting with Chinese Vice Premier Hui Liangyu at Zhongnanhai, the headquarters of the Chinese government.

    Alierta is in Beijing to attend the global board meeting of the Telefonica group, which was hosted by the company's cooperative partner in China, China Netcom Group Corp (CNC).

    Telefonica expects to increase its stake in a joint venture with CNC, the second largest fixed-line operator in China, from five percent to 9.9 percent, Alierta said.

    The joint venture, established last November under a strategic alliance agreement between CNC and Telefonica, holds controlling shares in PCCW, a Hong Kong-based phone operator.

    During the meeting, Hui said the Chinese government encourages and supports Chinese telecom companies to conduct cooperation with Telefonica and other multinational telecom companies on a mutually beneficial basis in order to learn from their expertise and experience and achieve win-win results.

    The Vice Premier said the Chinese government places great importance on the development and application of information technologies. He said China and Spain share a great potential of cooperation, adding that corporate-to-corporate exchanges have become ever closer since the two countries established an all-round strategic partnership in 2005.

    Alierta said as one of the major players in global telecom market, Telefonica is ready to further its cooperation with Chinese firms and share with them its experience in telecom operation. He said through the strategic partnership, Telefonica will facilitate the Chinese firms' effort to compete in the global market.

    Wang Xudong, minister of Information Industry, and CNC General Manager Zhang Chunjiang were also present at the meeting.


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