China Telecom released the earnings of 1H2014 in recent days. On the interim results briefing, China Telecom chairman Wang Xiaochu said, after the obtaining of FDD comprehensive trail license at the end of June, China Telecom has spent a month in the preparation of mobile phones that support 4G and CDMA standards, which now has reached 20 models, after only one month from the formal launch in July, 4G subscribers have reached 600,000 and the APRU reached 100 yuan.
Wang Xiaochu predicted, 4G mobile phone models of China Telecom will reach 50 by the end of September and exceed 100 by the end of the year.
Wang Xiaochu also said, the annual capital expenditure of China Telecom is CNY 80.3 billion in this year, half of which will be invested in the development of 4G network (about 40 billion). As reported, the expenditure was CNY 23.06 billion in the first half of 2014, which accounts for only 28.7%.
There is no change in the capital expenditure compared with the origin annual plan. China Telecom once said, the overall annual expenditure was CNY 80.3 billion, in which 42.3 billion would be used for capital expenditure of mobile business. If the LTE FDD license was issued this year, extra capital expenditure will increase CNY 20 billion.