China Telecom Qinghai branch and China Unicom Qinghai branch have formally signed a Framework Agreement on Joint Construction and Sharing of Telecom Infrastructure Resources, marking the birth of China's first telecom sharing agreement since the Ministry of Industry and Information Technology and the State-owned Assets Supervision and Administration Commission of China's State Council issued a notice to promote infrastructure sharing in the Chinese telecom industry.

On September 28, 2008, MIIT and the SASAC jointly published a notice to limit the redundant network constructions of Chinese telecommunications operators and to avoid the waste of resources caused by the redundant systems. After receiving the notice, the China Telecom Qinghai branch and the China Unicom Qinghai branch established coordination teams and motivated all available resources to promote the telecom infrastructure sharing and finally reached an agreement.

According to the agreement, to effectively raise the network safety capacity, to cut the costs in network operation, to reduce redundant construction and to make fully use of the complementary resources, the two sides will cooperate with each other in such resources as telecom towers, engine rooms, access transmissions, optical fiber, indoor distribution and power source. They will realize the cooperation through exchange of resources and leasing. In addition, the two sides will jointly construct new resources to attain a win-win situation. Qin Xueshou, general manager for China Telecom Qinghai branch, and Yu Liqin, general manager for China Unicom Qinghai branch, signed the framework agreement on behalf of their companies.

To ensure the implementation of this agreement, the two companies set up a coordination group which is in charge of the direction and coordination of issues related to joint-construction and sharing of telecom infrastructure as well as making decisions for relevant major matters.

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