According to industry experts, Chinese cellular operators China Mobile and China Unicom will benefit greatly from the introduction of 3G wireless services.

"3G will help them to sign up more subscribers and churn out more profits for them," said Song Junde, professor with Beijing University of Post and Telecommunications, who believes that the increase in wireless data will improve the ARPU of mobile operators and help increase the number of high-end subscribers.

Song does, however, acknowledge that the success of 3G will depend on a stable telecom system, the variety of new 3G wireless services, reasonable prices, sound business model, as well as the support of the government.

Government officials have concluded, however, that the Chinese market is not yet ready for 3G., which is in part responsible for delays in the issuing of licenses. Weng Ku, Ministry of Information Industry, said, "It is not exciting enough for China to roll it out now."


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