China Mobile shares to Phoenix intended to provide the content for 3G

Morning news (reporter Jiao Likun) yesterday, Hongkong came news that China Mobile (0941.HK) want to stake in Phoenix TV, intended for the 3G (third generation mobile communications) to provide news content.

Yesterday, the reporter called the mobile and Phoenix TV, both sides of the spokesman said, has not heard the statement". However, according to the Chinese mobile investment bank in Hongkong, said the matter is currently only senior people to grasp, has not yet entered the public relations level.

However, the capital market has shown great enthusiasm for this potential transaction. Yesterday, Phoenix TV (8002.HK) in the Hongkong stock market rose 5.75%; while the move also showed an unusual side - yesterday morning, in the top selling places in Hong Kong mobile.

Many industry analysts believe that the existence of a great deal of feasibility.

In last week's results conference, China Mobile chairman and chief executive officer Wang Jianzhou has publicly said that with the mainland 3G licenses will be issued during the year, the group will expand the proportion of data services. The most attractive side of 3G is to provide high-speed broadband support for data services. Prior to the news that the Australian News Group intends to sell 37% stake in Phoenix Satellite TV, attracted a lot of potential buyers, the move may be one of them.

An analyst familiar with China Mobile group pointed out that the mainland telecom operators to invest in content providers or directly into the content of the service sector is the industry trend. The source believes that China Mobile should increase the intensity of the integration of upstream content providers, play a more dominant role in terms of content channels. Content providers in the 3G era will be lucrative areas, while in the case of mobile, but also to reduce copyright disputes.

Telecommunications experts Wang Yuquan believes that television and telecommunications operators still have a lot of space, there are a number of foreign models, such as SK telecom operating television. In his view, the telecommunications business, in addition to mobile phones, television is a good bridge with consumers close contact, especially in the 3G marketing. "If the two sides only cooperate in the capital level, it would be of little significance." Wang Yuquan think.

Overseas analysts believe that at this stage the mainland telecom providers are too early to share content providers. They worry about the Phoenix TV broadcast rights in the mainland.