A source with a handset manufacturer is claiming that 40,000 TD-SCDMA/CMMB handsets procured by China Mobile (NYSE: CHL; 0941.HK) along with 1,000 CMMB handsets intended for the Beijing Organizing Committee for the Olympic Games, were denied a network access permits by the Ministry of Industry and Information Technology (MIIT), despite passing network access tests performed by the State Administration of Radio, Film and Television (SARFT). China Mobile is covering up that fact that the network access permits were denied, by claiming the handsets in question are still part of commercial trials.

Editor's Note: The move is likely part of a power struggle between the MIIT and SARFT over which mobile phone TV technology will become the national standard. SARFT is heavily pushing its preferred solution CMMB, whereas the MIIT favors the T-MMB standard.

Source:Guangzhou Daily