Jane Chen / Shanghai Daily news
Contest in the already-stiff mobile telecommunications market has been
accelerating, as the two leading telecom operators in Shanghai are moving up the
battlefield to the high-end sector.
Shanghai Mobile has abruptly announced a
phone service package targeting at higher-end clients, ahead of its rival
Shanghai Unicom's pending introduction of the same strategy, today's National
Business Daily reported.
Starting today, Shanghai Mobile's users will get 360
minutes of cell phone talk a month for 60 yuan (US$7.4), if they sign a one-year
contract for the package, Mobile officials said.
The per-minute phone charge
is 0.12 yuan, compared with the normal price of 0.6 yuan.
Other options
available under the package are 800-minute talk for 120 yuan, 1,200-minute for
180 yuan and 1,600-minute for 240 yuan.
Industry insiders envisioned the
price package as a drive to attract more high-end clients instead of simply
boosting sales.
In fact, the high-end clients are insensitive to prices and
the profit margins of the new package are cut low, a telecom official noted, as
quoted by NBD in anonymity.
In response, Shanghai Unicom has contacted the
city's telecom authority for interference, but in vain, according to a source
close to the company.
The Unicom official, cited in the NBD report on the
condition of anonymity, said his company will soon take actions to counterpunch
Shanghai Mobile.
Shanghai Unicom has adopted the strategy to exploit the
high-end market at the beginning of this year, much earlier than Shanghai
Mobile, he noted.