CHINA INFORMATION TECHNOLOGY LAW NEWSLETTER
Vol. 4, No. 9 - June 17, 2003
TOPICS THIS ISSUE:
- Merger to Consolidate China Netcom
- Ministry Of Information Industry Issued New Telecom Equipment Rules
- Chinese Enterprises Advised To Connect To It Future
- Chinese Sars Researchers Use Supercomputers To Characterize Viral Proteins
- China Successfully Develops First Electronic Fingerprint System
- Nokia Gets China Cdma License
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Merger to Consolidate China Netcom
China Netcom Corp - the country's second largest fixed-line telephone operator - unveiled a merger plan yesterday to enhance its competitiveness in the fierce telecoms market.
A statement from China Netcom stated it will purchase the State-owned shares of Jitong Communications worth 481.9 million yuan (US$58 million).
All Jitong's assets, business and staff will be incorporated into China Netcom's regional branches.
"It's a big step towards consolidating our business," the statement said.
Jitong Communications has developed 121 subsidiary companies nationwide since its establishment in 1993.
"It is the result of continued efforts to sharpen our competitive edge," said the statement.
Sources close to China Netcom said Jitong's 10 provincial branches in the north will be merged with China Netcom's local subsidiaries.
Jitong's six southern branches in Fujian, Anhui, Hunan, Hubei and Shanghai will be merged into China Network Communications, part of China Netcom.
Other regional branches will be incorporated into China Netcom's local subsidiaries.
China Netcom also pledged yesterday that the takeover of Jitong Communications will have no impact on its customer service.
Analysts predicted the merger will be finished by the end of next month.
They said the merger reflected efforts by Zhang Chunjiang, newly appointed general manager of China Netcom, to position the company better in the domestic market.
Netcom had revenue of 68 billion yuan (US$8.2 billion) last year, ranking third among China's major telecom operators.
(Source: People's Daily)
Ministry Of Information Industry Issued New Telecom Equipment Rules
The Chinese Ministry of Information Industry (MII) recently issued the Interim Regulations on the Management of the Technical Acceptance Test of New Telecom Equipment.
According to the regulation, manufacturers should submit a formal application to MII when they plan to put new equipment into telecom network. The following should be included in the application:
1) Equipment introduction.
2) The application of the equipment in China and abroad.
3) Relevant standards introduction.
Telecom Administrative Bureau will examine the application in accordance with following principles:
1) Whether the equipment falls in line with industry policies.
2) Whether the equipment accords with China's condition.
3) Whether the equipment affects Internet smoothness.
4) Whether the equipment can satisfy carriers' demand of inter-connectivity and fair competition.
5) Whether the equipment is advanced and has a good prospect.
6) The application of such equipment in China and abroad.
7) International and domestic standards of the equipment.
(Source: SinoCast China Business Daily News)
Chinese Enterprises Advised To Connect To It Future
Chinese enterprises need to embrace information technology to better manage their businesses, China's IT authority has said. "The need for changes was made obvious by the SARS outbreak, during which people tried to avoid face-to-face contact," said Li Jian, the general director of the High-tech Industrialization Department of the Ministry of Science and Technology. According to Li, a mature IT-enabled environment was needed to support the operations of both big and small enterprises. The suggestions made by Li were echoed by officials and experts at the opening ceremony of a week-long forum on enterprise IT, which is supported by the Office of State Council Leading Group of Enterprise Information, China National Enterprises Website, and leading software producer UFsoft.
Chinese enterprises have been quick to set up web sites and use software in day-to-day operations. A survey conducted by the leading group office indicated that by the end of 2002, 83% of the 538 key state-owned enterprises have websites of their own. The management software can help improve business performance. But experts said that state-owned enterprises must raise awareness of the importance of a modern management approach in order to successfully implement enterprise resources planning.
(Source: Xinhua News Agency)
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Chinese Sars Researchers Use Supercomputers To Characterize Viral Proteins
Scientists in China are using supercomputers and computational methods to identify key proteins of the coronavirus that causes SARS, Silicon Graphics said in an announcement today highlighting its role in the work.
Scientists at the Shanghai Institute of Materia Medica (SIMM) have been working to analyze the SARS coronavirus genome and do protein predictions as well as alterations in proteins. They are constructing 3D models of proteins and virtually screen them for compounds that may interact with these proteins.
According to reports, the group at SIMM is using the supercomputer to map sites of mutation on the SARS coronavirus genome and creating datasets to characterize the structure of the mutant proteins encoded at these sites. Meanwhile, researchers at the Beijing Genomics Institute are working to sequence 100 isolates of the SARS virus for mutation studies. To model SARS-related protein sequences and key genome regions, Institute researchers are using two 32-processor SGI Origin 3000 supercomputers, a 5TB SGI TP9100 Fibre Channel storage system and several Silicon Graphics O2 graphics systems.
(Source: GenomeWeb News)
China Successfully Develops First Electronic Fingerprint System
Nanjing Scientific & Technical Innovation Workstation has successfully developed the Military Fingerprint-encrypting Email System in cooperation with 10 organizations. At present, the system has passed the technical acceptance. The system is China's first fingerprint encrypting network product and with its own intellectual property.
The workstation has used fingerprint identification, modern information encryption and other advanced technologies to develop the fingerprint-encrypted email server, user management and other software for the system. The system can effectively solve the security problems in the email system, including hostile email attack, email stealing and forging, leaking of private information.
(Source: SinoCast China Business Daily News)
Nokia Gets China Cdma License
Nokia received a license to manufacture and sell mobile products using the CDMA technology in China.
BNMT, Nokia's manufacturing joint venture in China, received a license from the Chinese government and it plans to begin deliveries of the first CDMA terminals to the Chinese market in the second half of 2003. In a press release, Nokia said that the manufacturing license is not only a statutory requirement for manufacturing and selling CDMA based products in China but also demonstrates that Nokia's CDMA technology meets the high level of expectations and contains the advanced features required by the Chinese consumers.
While the global system for mobile communications (GSM) remains the largest standard for mobile telecommunications in China, CDMA, which stands for code division multiple access, is the nation's second-largest standard.
(Source: The Street.Com)
The China Information Technology Law Newsletter is intended to be used for news purposes only. It should not be taken as comprehensive legal advice, and Lehman, Lee & Xu will not be held responsible for any such reliance on its contents.
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