This is the second of a two-part series examining China's telecom sector. Part I examined the domestic telecom market. Part II examines Chinese telecoms' international expansion.
SHANGHAI -- Building on strong domestic development, China's telecommunications sector has enjoyed a period of impressive international expansion over the past decade. Under the banner of the "Go Global" campaign, national flagship companies have built up their international operations through a range of overseas purchases and cooperative ventures with foreign partners. Greater technological capabilities and cost advantages have also allowed Chinese firms to rapidly establish themselves as important vendors of telecom products and services in international markets.
However, along with the economic and commercial implications this realignment of the global telecom industry has raised, the expansion of Chinese firms and technologies has also been a source of persistent cybersecurity concerns. All of China's telecom companies have close ties to the state, and the government's insistence on retaining tight control over the industry makes assuaging these concerns a key challenge for future expansion.