China Unicom Yunnan outsource 230China's third largest carrier, Unicom, has brought in other private companies to manage a network with about the same population as Spain. The company reports outstanding results. (Below) While many companies, especially in India, will contract out building and even running the networks, this appears to be going even further.

Unicom itself is now an experiment in how to connect State-owned companies with private ones. The government persuaded Internet giants Alibaba & Tencent to each buy about 10% of the company and work actively with CU management.  Rumors that CU would be merged into China Telecom have not proven true. The company has been struggling.  

Initial Contract-out Reform of Yunnan Branch Showed Brilliant Results

⚫ Delegated management of the access network assets, network deployment & maintenance, overall business dealing to privately-owned operating companies, in compliance with the applicable laws & regulations

⚫ Contracted out operation with profit target set

 

⚫ >90% of the Company’s employees migrated to the operating companies

⚫ Stock ownership to key staff to better align staff & operating company’s interests

⚫ 4G network construction sped up with private capital

⚫ Accelerated business growth with higher staff motivation

⚫ Enhanced operating efficiency with refined cost management

China Unicom Yunnan outsource 650

 

dave ask

@analysisbranch for latest updates

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Welcome  Asia is installing hundreds of thousands of 5G radios and adding 5G subs by the tens of millions. The west is far behind. 200,000,000 in 2020

The demand is there, and most of the technology works. Meanwhile, the hype is unreal. Time for reporting closer to the truth.

I'm Dave Burstein, Editor. I've been reporting telecom since 1999. I love to hear from readers and say thank you when you find an error. daveb@dslprime.com

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