The restructuring plan of China’s telecom industry would not be released before the end of the summer, delaying the sale of third-generation (3G) mobile services licenses, the weekly China Business Post reported.

The weekly didn’t give a date for the launch of 3G licenses.

China is expected to issue 3G licenses between the end of this year and the beginning of next year but no timetable has yet been set.

The plan for a restructuring of China’s telecom industry had been finalized but not submitted to the State Council, the report said, citing unnamed senior officials in the telecom industry.

At present many are anticipating three licenses issued with enough time to let China have 3G networks up and running in time for the 2008 Beijing Olympic Games.

The Chinese Government intends to streamline the telecom industry before launching the much-awaited 3G licenses.

Unlike in Europe, where 3G licenses are sold for large fees in an auction to the highest-paying bidder, China is likely to split responsibility for the competing 3G standards among the carriers and keep the prices relatively low.

China would release no less than four 3G licenses with a price tag of between 100 million and 200 million yuan (US$24.15 million), the report said.

(Shenzhen Daily July 5, 2005)