China approves pilot operations in value-added telecom services run by 13 foreign firms

China's top industry regulator said on Friday that it has granted approvals for pilot value-added telecom business operations to 13 foreign-invested enterprises, such as the subsidiaries of Siemens, HSBC, and Airbus.

The Ministry of Industry and Information Technology said these enterprises, registered in Beijing, Shanghai, Hainan, and Shenzhen, Guangdong province, are now authorized to fully own and operate telecom utilities and services such as internet data centers, internet access facilities and online data processing following the approval guidelines

As of the end of February 2025, China has over 2,400 foreign-invested telecom enterprises, marking a 30 percent increase compared to the same period in 2024. The 13 newly approved companies, backed by renowned multinational corporations, are expected to bring more diversified telecom services and products to Chinese consumers, according to MIIT.

This development underscores China's determination to foster a more inclusive and competitive telecom market, paving the way for greater innovation and collaboration in the digital economy, analysts said.

Since 2024, MIIT has initiated pilot programs to expand the opening of the value-added telecom sector in the four regions, garnering widespread attention and positive feedback from various sectors. The initiative has significantly boosted foreign enterprises' interest in investing in China's telecom market.

The issuance of these approvals represents yet another milestone in China's efforts in opening up its information and communication industry. It reflects China's proactive approach to aligning with international high-standard economic and trade rules, as well as its commitment to deepening reforms and advancing institutional openness, analysts added.