AsiaInfo sees earnings boost from shake-up of telecoms industry

AsiaInfo Holdings, a leading mainland telecommunications software vendor, said the pending restructuring of the industry would drive its business for the next two years.

'As telecoms operators are merged into three super carriers, with each providing fixed-line, mobile and broadband services, they will need to significantly upgrade their systems software,' said president and chief executive Steve Zhang.

As China Telecom, the country's top fixed-line operator, acquired the CDMA network of No2 mobile operator China Unicom, it would need a new billing system to support the mobile operations, said Mr Zhang.

Most analysts expect the new industry landscape to increase competition between the carriers.

'As competition intensifies, operators will need to improve customer services and target their sales efforts. This could also boost our business,' said Mr Zhang.

The company was receiving orders for new systems starting from the second quarter. There would be more in the third and the fourth quarters, he said, adding that increasing competition would lead to more orders over the next two years.

China Mobile, the country's leading mobile operator, is planning an extensive upgrade to its billing system, including new features to provide personalised customer services and perform real-time billing.