China opens VAS to foreign ownership

8 Jan 2014

China will allow foreign investment in value added service (VAS) providers in the Shanghai Free Trade Zone (FTZ), Xinhua quotes Wen Ku, the head of the telecom department of the Ministry of Industry and Information Technology (MIIT) as saying. Full ownership by foreign companies will be allowed for providers of app stores, call centres, store and forward, domestic multi-party communications and home internet services, whilst foreign ownership will be capped at 55% for online data and dealing analysis service providers. Enterprises that apply for the services should register and base their infrastructure in the Shanghai FTZ, and all services may be available to the whole country, except home internet access services, which will be confined within the FTZ, Wen said.



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