Company: China Mobile Ltd.
Brand Value: US $61.4 Billion
Year on Year Change: 21%
Headquarter City: Beijing
Industry: Telecom Providers
Year Formed: 1997
TELECOM PREPARES FOR 4G LAUNCH, STRENGTHENS INTERNET PRESENCE
China Mobile is the world’s largest wireless provider, with 750 million subscribers as of August 2013. China’s most valuable brand, China Mobile increased 21 percent in brand value. The company continued development of its network capacity, what it calls its Four-Network Coordination, which involves progressive generations of broadband: 3G, 4G, WLAN and TD-LTE.
China Mobile announced it would spend almost $7 billion during 2013 to expand its 4G network. At the same time, to increase the number of 3G subscribers, China Mobile introduced two low-priced handsets under its own brand, in August 2013. Both operate on the Google Android system.
The phones may sell better in China’s lower tier cities where customers are more price sensitive and product choice is less extensive than in larger urban centers. To fortify its presence in major cities, China Mobile held discussions with Apple about carrying its devices.
China Mobile also moved further into mobile Internet, looking to balance texting revenue lost to free instant messaging applications, which have gained success in China. To raise funds for strengthening its mobile offering, the company sold a $25 million private placement in its China Mobile Games and Entertainment Group.
Many of these initiatives relate to a strategy that the company calls, “smart pipes, open platforms, featured services and friendly interfaces,” in its effort to avoid being perceived as a commodity, a challenge all telecoms face.
China Mobile revenue increased 10.4 percent to RNB 303.1 billion ($49.5 billion) during the first half of 2013, compared with the same period a year earlier. Profit remained flat. In 2012, profit rose 2.7 percent year-on-year to RMB 129.3 ($21.2 billion) on sales of RMB 560.4 ($91.4 billion), a 6.1 percent increase.
China Mobile is owned by the SOE (State Owned Enterprise) China Mobile Communications Corporation. It was listed on the New York and Hong Kong Stock Exchanges in 1997. China Mobile ranked 10 in the BrandZ™ Top 100 Most Valuable Global Brands 2013.