A major Chinese mainland telecommunications operator will sign a memorandum of understanding next month to provide services to Kazakhstan and Uzbekistan.
The signing will take place during Hong Kong Chief Executive John Lee Ka-chiu’s official visit to the two Central Asian countries early next month to boost trade co-operation. Lee will lead a 60-person delegation during the visit.
Kevin Chan Kin-fan, China Mobile International Ltd’s head of carrier business, said he believes the high-level visit will help strengthen economic and trade exchanges, adding that Hong Kong’s role as a superconnector and super value-adder offers unique strategic advantages.
China Mobile International Ltd, based in Hong Kong, is expected to sign a memorandum of understanding with QazPost-YTO, a joint venture between Kazakhstan’s national postal service and a Chinese mainland delivery company, during the visit.
The MOU includes providing 5G private networks, smart dispatching, and logistics data management services, among others, for a logistics center in Kazakhstan.
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Chan said the local 5G market in Central Asia remains focused largely on traditional consumer segments, with enterprise services still maturing.
“We are going to give them our smart solutions through our logistics platform. On top of that, because we also have other projects happening in Central Asia, especially in the Kazakhstan region, they will be providing us with a logistics capability that they will make sure all the equipment and all our construction of these satellite base stations will be seamless,” Chan said.
Chan said that because they are landlocked, Central Asian countries lack direct access to undersea cables. Hong Kong, by contrast, boasts one of the world’s highest densities of submarine cable landing stations and international data exchange centers, he said.
“The company utilizes this advantage to seamlessly connect Central Asia’s terrestrial optical cable system to Hong Kong. This allows Central Asian data to reach major global economies via the shortest route,” he said.
Chan also said that strengthening the connection with Central Asia’s land-based optical cable system also benefits Hong Kong, as it provides an alternative route for the city’s network transmission to Europe — one that is not restricted by undersea cables.
In addition, the region, with its young population and surging demand for information, presents immense potential. As Central Asian countries like Kazakhstan adopt increasingly open policies, and given the high recognition of Chinese network services in the region, China Mobile International may also increase its investment there in the future.
Chan added that beyond specific investments, China Mobile International is working with the special administrative region government’s GoGlobal Task Force, established in October, to facilitate mainland telecom equipment, technical standards, and service solutions going global.
The company also hopes to link the Guangdong-Hong Kong-Macao Greater Bay Area, Central Asia, and Europe by building cross-border digital economy and logistics networks along the Belt and Road Initiative routes.
