China Telecom Faces Pressure from China Mobile in Fixed Broadband Market

China Telecom released the earning results in 1H16 on August 23.

 

Yang Jie, chairman and CEO of China Telecom, said at the results briefing that China Mobile had put pressure on China Telecom in the fixed broadband market.

 

However, China Telecom has gained 88 million FTTH users totally with initiatives including increasing the broadband speed.

 

China Telecom also provides its subscribers with content services for the value-added services are helpful in attracting subscribers and maintaining user stickiness.

ARPU of fixed broadband of China Telecom has declined for several years and it dropped by 3.3% in 1H16 YoY, which is a lower decline rate compared with last year.

 

By the end of June, China Telecom has achieved 118 million fixed broadband subscribers, a net increase of 4.94 million compared with last year while that of China Mobile increased 10.8 million to 65.84 million, accomplishing the annual goal of 10 million additions.