MIIT Issues Notice on Commercializing Mobile Communication Resale Services

On January 24, the Ministry of Industry and Information Technology (MIIT) released the Notice on Commercializing Mobile Communication Resale Services for public comment with a deadline of February 22. The Notice is the next step to commercializing mobile communication resale services since test projects were first launched in May 2013. The Notice states that private-owned, state-owned and foreign-invested enterprises can apply to provide mobile communication resale services according to the China Telecommunication Regulation, the Foreign Invested Telecom Enterprise Regulating Measures, and the Administrative Measures for Licensing of Telecommunications Services.
 
Although mobile communication services are categorized under basic telecom services, mobile communication resale services are regulated as value-added telecom services according to the Telecom Catalog. Thus in combination with the Foreign Invested Telecom Enterprise Regulating Measures, only joint-ventures with maximum 50% foreign ownership are eligible to apply for mobile communication resale services licenses.