China Telecom USA Corporation Becomes First Chinese Telecommunications Company To Establish Operations in the United States.  
 
China Telecom, the largest fixed-line telecommunications service provider in China, announced that its subsidiary, China Telecom USA, will become the first Chinese telecommunications company to establish operations in the United States with the opening of its Washington, D.C. area headquarters on Monday, November 4th.

The Company also unveiled a suite of products called ChinaDirect, offering single-provider, end-to-end telecom services to American corporations doing business in China.

The move comes at a time of unparalleled growth in China's telecommunications market. Commenting on this, China Telecom Vice President Chang Xiaobing, said: "China continues to be a leading investment destination for American companies. They need a telecom partner who has the local experience and know-how to get things done. Last year, China Telecom wired 20 million new residential and business lines to our voice network. That's the equivalent of adding all the phone lines in the State of California in one year. We're used to getting things done in China."

Commenting on the mission of the new company, China Telecom USA President Zhang Weihua, said: "The fact that a single company will operate the entire network, from the East Coast of the United States to the easternmost reaches of China, is a big selling point for our new company. American companies are tired of dealing with different time zones, different combinations of service providers, and different excuses. They want one company to put forward a compelling offer, and back it up with an aggressive service level agreement. We are that company. Creating seamless communications links between American headquarters and Chinese subsidiaries is China Telecom USA's only focus, so you can bet we're going to work tirelessly to be good at it."

Mr. Zhang continued: "We are building out a cutting edge network from coast to coast. We have points of presence in Los Angeles, San Francisco, New York and Washington, DC. We're working in the same time zone as our American customers, speaking their language. We'll provide customer service and operations support 24x7."

China Telecom has its own submarine cable circuit connecting the US and China, as well as its transport backbone in the United States. The aim of the new company is to bring its US customers closer to China. The company will offer American customers a suite of three products under the ChinaDirect name.

Billing will also be simplified and more flexible. "If our customers want to pay us here or in China, it's up to them," Mr. Zhang explained.

In a related development, China Telecom will complete its Initial Public Offering on the New York Stock exchange later in the week.