SK Telecom eyes CDMA JV with China Telecom -paper
HONG KONG, April 23 (Reuters) - South Korea's SK Telecom (017670.KS) aims to team up with China Telecom (0728.HK) for a possible joint venture to operate mobile service using code division multiple access (CDMA) technology in China, the South China Morning Post said on Wednesday.
SK Telecom, which owns 6.6 percent of China Unicom (0762.HK), was approaching fixed line provider China Telecom as market participants await an official announcement regarding restructuring of the telecom industry, the newspaper said.
It was rumoured that China Telecom would buy China Unicom's CDMA network under the restructuring to help it defend its shrinking market share as land-line users switch to a mobile platform offered by China Mobile (0941.HK), the paper said.
The newspaper cited a source as saying the South Korean telecom group would prefer a CDMA joint venture with China Telecom with a near-term focus on building a successful CDMA business in China.
The paper quoted a China Telecom spokesman as saying the company would not enter into talks about a strategic investor before the Chinese government grants it full-service operator status. (Reporting by Donny Kwok; Editing by Nick Macfie)
