China Netcom Corp, the country's second largest fixed line telephone operator, has vowed to add more telecom value-added services.
"We will take advantage of broadband networks to provide more diversified services to rival our competitors," said Edward Tian, chief executive officer of China Network Communications Corp, a part of China Netcom.
He made the remark at a press conference on Friday in Beijing's Economic Development Zone, while launching China Netcom's new service platform - www.cncstock.com.
The platform, based on China Netcom's leading broadband technology, aims to provide comprehensive and real time online services to stock investors.
"We are dedicated to providing an interactive platform with real time stock transactions, information releases and multi-media communications services," Tian said.
He added that China Netcom has already confirmed agreements with both the Shanghai and Shenzhen stock exchanges to release exclusive information on the website.
Meanwhile, the platform has also reached co-operative agreements with many of the country's brokerages, consultant firms and financial software providers to enable stock investors to have real-time communications with brokerages and analysts online.
"With the launch of the platform, we believe customers can have more alternatives while handling stock-related business," he said.
Analysts said that with the quick development of the country's information technology, online stock transactions are going to surge upwards in the years to come.
"Online stock trading is an inevitable trend," said Dai Chunrong, an analyst with Huaxia Securities.
She believed the combination of the telecom and stock industries will give online stock trading a shot in the arm as it will greatly help customers get the real-time stock information and help brokerages cut down the operational cost.
China Netcom's new move is a substantial effort to diversify its services to customers, Dai said.
Aiming to better position itself in the fierce domestic market, China Netcom has recently speeded up its re-adjustment plan by fulfilling its merger with Jitong Communications last month.
China Netcom purchased the State-owned shares of Jitong Communications worth 481.9 million yuan (US$58 million).
However, the merger also forced China Netcom to shoulder Jitong's liability, estimated around 2.84 billion yuan (US$342 million).
A knowledgeable source close to China Netcom said the company has not yet mapped out a detailed plan to handle the liability.
(China Daily July 14, 2003)
