Chinese telecom operator China Telecom and the Shanghai-based steel manufacturer Baosteel Group have signed a strategic cooperation framework agreement for overall operation of a traditional communications business, 3G business, and the Internet of Things business.

This is reportedly the most important Internet of Things project ever for China Telecom.

China Telecom and Baosteel Group have maintained a long-term partnership and the two parties implemented further cooperation in digital data access from November 2009. With the signing of this new agreement, the cooperation between the two parties is expected to enter a new stage.

Under the agreement, the two parties will include each other into their respective range of preferred suppliers. With its modern information communications technologies, China Telecom will help Baosteel Group to launch a more enhanced global operation; meanwhile. Baosteel Group will then become the preferred supplier of steel and related extension products for China Telecom, providing support to the infrastructure constructions to the telecom operator.

On the basic communications level, China Telecom will offer national support to Baosteel Group in various sectors, including voice, data, wireless, video conferencing.

For Internet of Things, China Telecom will help Baosteel Group renovate its manufacturing plants with wireless communications and the emerging Internet of Things technologies, aiding Baosteel Group's realization of real-time site control.

For business and information systems, China Telecom will create a globally oriented steel trade e-commerce system for Baosteel Group, set up a 3G network-based national steel logistics management system, and provide a national high-speed Internet and call center platform.