China Mobile Ltd (中國移動) chairman Wang Jianzhou (王建宙) had a private lunch meeting with Vice Minister of Economic Affairs Hwang Jung-chiou (黃重球) yesterday to push for approval for China’s biggest mobile operator to buy a 12 percent stake in Far EasTone Telecommunications Co (遠傳電信).
The investment move is on hold because Chinese companies are not permitted to invest in the nation’s major wireless businesses. Despite this, in April China Mobile signed a memorandum of understanding with Far EasTone to buy a stake for NT$17.77 billion (US$540 million).
The issue was extensively discussed at the meeting, Hwang told reporters yesterday. He did not provide details.
“We believe the timing is ripe [for approving the deal],” Wang told reporters in Taiwan last Friday.
Far EasTone, the nation’s third-largest telecoms operator, is making progress in cooperating with China Mobile in other areas. Far EasTone will jointly purchase electronic and handheld devices such as electronic readers with China Mobile in future, company chairman Douglas Hsu (徐旭東) said.
This would save 50 percent on electronics purchases, helping to retain existing subscribers and attract new users, Hsu said last Friday. China Mobile has ordered electronic readers from Hon Hai Precision Industry Co (鴻海精密) and expects to sell the gadget in the first half of next year, Wang said.
Wang said yesterday that he was also in talks with Delta Electronics Inc (台達電) about ordering electronic readers.
The government hopes to establish a long-term information technology platform with China, specifically through an alliance with China Mobile, Hwang said.
Wang said he was particularly interested in meeting with the nation’s top IT companies, such as MediaTek Inc (聯發科), HTC Corp (宏達電), Hon Hai, Acer Inc (宏碁), Asustek Computer Inc (華碩), Far EasTone and Chunghwa Telecom (中華電信), Hwang said.
Wang later met with Wang Chih-kang (王志剛), chairman of the Taiwan External Trade Development Council, who initiated cross-strait collaboration in the sector in June.
Wang Jianzhou yesterday said his company was intent on collaborating with Taiwanese manufacturers in developing high-quality end products at affordable prices.
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