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China Telecom to launch U.K.-based MVNO

China Telecom (CHA) is set to spread its wings into the U.K. market striking a deal with the T-Mobile/Orange venture Everything Everywhere to offer services. The service, which is expected to launch during the first quarter, was struck between China Telecom’s European subsidiary and Everything Everywhere’s mobile virtual network aggregator Transatel.

The mobile virtual network operator service will target Chinese residents, businesses and visitors to the United Kingdom.

Everything Everywhere has a number of other MVNO partners on its network, including previous deals with such companies as Virgin, H3G and Telecom Plus. The company is a joint venture between Deutsche Telekom and France Telecom that was launched in mid-2010.

China Telecom, which is China’s third-largest wireless operator with more than 123 million subscribers, has made a number of recent moves to expand its presence in the Western Hemisphere, including the expansion of an agreement with AT&T into the enterprise market and the opening of an office in Chicago and data center in Los Angeles. China Telecom is also reportedly looking at starting an MVNO-based service in the United States sometime this year.

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