Huawei founder Ren Zhengfei is not the world’s most talkative man, so when he says something in a rare media interview it’s worth taking notice. In this case Ren has personally stated that Huawei is temporarily halting its efforts to sell its telecoms equipment in the US, providing the final word on a controversial topic that has made headlines for much of the past year. But of course nothing is ever final, and a top US-based Huawei spokesman has quickly added that the company is ready to enter the US if and when Washington ever relaxes its informal ban on the company’s networking equipment. Continue reading
In an unusual day for overseas traded Chinese firms, we’re getting interesting listing news bits from 3 of the world’s top financial markets, with companies making headlines in New York, London and Hong Kong. In New York, we’re hearing that unappreciated online game operator Perfect World (Nasdaq: PWRD) may be considering a privatization bid; in Hong Kong, Cinda, a manager of non-performing state-run assets, is getting a strong reception in the run-up to its large IPO; and last but not least, visiting British Prime Minister David Cameron has made a person appeal to e-commerce giant Alibaba to make its highly anticipated IPO in London. Continue reading
Top executives at controversial software security maker Qihoo 360 (NYSE: QIHU) have been blitzing cyberspace these past few days with a campaign to convince the world that it’s suddenly become a defender of justice and occupier of the moral high ground. This sudden offensive almost looks coordinated, with Qihoo aiming its newest assaults at 3 of its favorite targets, search leader Baidu (Nasdaq: BIDU), top social networking firm Tencent (HKEx: 700) and fast-rising super-cool smartphone maker Xiaomi. Continue reading
The following press releases and media reports about Chinese companies were carried on December 5. To view a full article or story, click on the link next to the headline.
- China Issues 4G Network Licences For TD-LTE To 3 Major Telcos (English article)
- Disney In China Digital Entertainment Venture With BesTV (Shanghai: 600637) (English article)
- Perfect World (Nasdaq: PWRD) Considers ‘Going Private’ Transaction – Sources (English article)
- Court Rejects Youku Tudou’s (NYSE: YOKU) 10 Mln Yuan Lawsuit Against Baidu (Chinese article)
- Coolpad In Deal To Sell 4G Smartphones To Vodafone (London: VOD) (Chinese article)
I don’t know if I’m the only one who noticed this, but the flurry of attacks on foreign companies that began quite suddenly during the summer has ended just as quickly, replaced by what looks like a longer-term series of investigations against high-level officials at major state-owned firms. This second wave of attacks is obviously much more politically sensitive since it targets well-connected local Chinese officials, many of them high-ranking executives at some of the country’s leading state-run firms. Sensing that this anti-foreign campaign has now officially passed, visiting UK Prime Minister David Cameron has become a vocal supporter of GlaxoSmithKline (GSK) (London: GSK), the British drugmaker that was at the center of one of the biggest attacks against a multinational during the summertime campaign. Continue reading
My first reaction to a report about Shanghai’s latest business scandal was one of disgust, as I read about scoundrels who use homemade radio devices to block mobile signals and send thousands of cellular spam messages. Anyone who owns a cellphone is well aware of the spam problem, receiving dozens or even hundreds of such unwanted text messages each month offering everything from restaurant discounts to rip-off investment schemes. Continue reading
Media are buzzing about the latest survey on China’s most valuable brands, with each providing its own interpretation of the latest list from global advertising giant WPP (London: WPP) and its Millward Brown affiliate. Many companies that I regularly write about are at the top of the list, but an equally interesting is who isn’t there. I’m referring to consumer brands that are common elements of daily life for most people, printed on everything from shampoos to instant noodles. This category is currently dominated by foreign names, but the new list hints that 1 or 2 Chinese firms could be positioned to become the country’s first equivalent of Procter & Gamble (NYSE: PG) or Unilever (London: ULVR). Continue reading
Update: Since originally writing this, the MIIT has finally formally issued 4G licenses, allowing each of the 3 major telcos to operate a service based on the homegrown TD-LTE standard. China Mobile will formally launch service on December 18.
It’s a new day, so I figured that’s a good enough excuse to write about the latest 4G wireless services rumors, which seem to be coming almost daily at this point. The newest rumors look a bit sexier than other recent chatter, this time unveiling the brand name industry leader China Mobile (HKEx: 941; NYSE: CHL) will use for its new service, and also adding the company will finally offer an Apple (Nasdaq: AAPL) iPhone for the network when it formally launches service later this month. Word of the actual launch date, in this case December 18, was probably the least interesting news in this latest report. That’s because every report I’ve read these last few months nearly always contains a launch date that is ultimately incorrect, and there’s no reason to believe that this new report will break that trend. Continue reading
The following press releases and media reports about Chinese companies were carried on December 4. To view a full article or story, click on the link next to the headline.
- Britain’s Cameron Defends GSK’s (London: GSK) Business Practices In China (English article)
- SouFun (NYSE: SFUN) Proposes $250 Mln Convertible Senior Notes Offering (PRNewswire)
- CNZZ: Qihoo (NYSE: QIHU) Search PV Share Up 1 Ppt MoM In November (English article)
- Alibaba Makes Gaming Hires In Possible Move Into Mobile Games (Chinese article)
- Qunar (Nasdaq: QUNR) Appoints Denise Peng as COO (Globe Newswire)
The recent rush by Chinese web firms into the financial services has gained a new member, with word that real estate services SouFun (NYSE: SFUN) will enter the sector. I’ve generally been skeptical of this sudden swarm into financial services, which was touched off earlier this year by e-commerce leader Alibaba, since this new stream of online investment products looks rife with potential for controversy. But that said, this latest move by Soufun actually looks quite logical and shrewd, since the company’s core real estate business already has very close ties with the traditional financial services industry. Continue reading
This week’s China visit by British Prime Minister David Cameron is stirring up a flurry of activity from the big 4 Chinese state-run banks, 3 of which have just announced new tie-ups in Europe. The move by Chinese banks into Europe isn’t all that surprising, since the EU is China’s biggest trading partner and London is one of the world’s top 2 financial centers alongside New York. What is slightly surprising is the suddenness of this flurry of activity, which I suspect is at least partly driven by a directive by Beijing for the nation’s big 4 lenders to go global and internationalize China’s currency, the yuan. Continue reading