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China’s mobile price war heats up

BEIJING-The price war between China Mobile and China Unicom is heating up across the country, except in the big metropolises of Beijing, Shanghai and Guangzhou. The Ministry of Information Industry (MII) has mandated standard charges of a 50 yuan (US$6) monthly basic fee and 0.4 yuan (US$0.05) per minute call charge for China Mobile, allowing for a 10-percent discount for China Unicom.

But both carriers are aggressively offering lower packages to attract customers. For example, family members pay only one-fourth of normal charges when calling each other. And a “family” can be extended to a company or community.

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