China's telecommunications industry: Development patterns and policies

This paper takes a comparative developmental approach in analyzing the rapidly developing telecommunications industry in China. It first formulates a framework of analysis based on policy decisions that shaped telecommunications growth in other parts of the developing world. It then looks at China in the light of these patterns and tests for the strengths and weaknesses of the PRC's own actions. The analysis focuses on government policy and its implementation since the founding of the PRC, and documents developments in the construction of a modern and accessible telecommunications system. A case study section focuses on China Unicom, a challenger to the state monopoly carrier. The paper concludes that the Chinese government seems to recognize the importance of moving beyond the traditional central state monopoly control of telecommunications. The PRC is also taking tentative steps to allow foreign companies a greater role in modernizing the industry. Overall, government policies have had a positive effect in expanding opportunities in this key economic sector.