China Mobile Still Envy Of Wireless World?
China Mobile’s (CHL) net income rose 23% to $8.5 billion for 2006. By way of contrast, Sprint’s (S) did $247 million in its last quarter, for an annual run rate of less than $1 billion. The amazing thing about China…
China Mobile’s (CHL) net income rose 23% to $8.5 billion for 2006. By way of contrast, Sprint’s (S) did $247 million in its last quarter, for an annual run rate of less than $1 billion.
The amazing thing about China Mobile was that its subscriber count rose 22% to 301 million customers. The size of the Chinese population obviously helps.
There was a cautionary note in the earnings announcement. Growth in China’s large cities is beginning to slow as these markets reach saturation. That means that the company will be looking to rural customers, who are likely to use phones less, for its future growth.
That may not be good.
Douglas A. McIntyre
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Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.
McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.
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A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.
TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.
McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.
