China Unicom to Provide Long-distance Alternative

����China unicom is expected to begin offering its long-awaited long-distance phone service both domestically and internationally later this year, Business Weekly reported On October 17.

����"By the end of this year, we will provide long-distance phone services in the country's more than 20 cities, both domestically and internationally," Tan Xinghui, general manager of planning and marketing with China Unicom, said.

����The business expansion, if implemented as envisioned, will eventually make China Unicom a major force in the telecom services sector.

����China Unicom is expected to benefit from the split up of the China Telecom monopoly into three independent operations including mobile phones, fixed phones and satellite services later this year.

����China Unicom currently operates paging, mobile phone, Internet access, IP (Internet Protocol) phone and limited local fixed-phone services.

����Chinese customers will have to remember two sets of regional codes with the new service. They have become used to dialing only one phone code during past decades.

����China Unicom is authorized to conduct local fixed-phone business in Tianjin, Chongqing and Sichuan only.

����"We will mainly rely on China Telecom's fixed-phone network to provide long-distance services," said Tan.

����Since China Telecom, which controls the fundamental fixed-phone network, is reluctant to co-operate with China Unicom, the company has faced great difficulties in developing inter-connections across the country.

����Tan said China Unicom plans to lease part of mobile capacity from China Mobile Communication Corp, the most profitable arm separating from China Telecom.

����"We are in negotiation and it will benefit the two sides since some of China Mobile's network capacity is idle," said Tan.

����The company's Internet business will also begin later this year.

����Tan said a key plan involves co-operating with Internet service and content providers. (Xinhua)