Reliance inks telecom deal with China
Reliance inks telecom deal with China
With the new connectivity deal, call tariffs to China would fall by about 55 per cent and cost Rs 8 per minute.

Mumbai: Reliance Infocomm on Monday said that it has signed a connectivity deal with China's top mainland fixed-line carrier China Telecom.

Reliance Infocomm said the agreement would lead to the first direct telecommunications connectivity between the two countries.

Calls between the two countries are presently routed via the United States or Europe.

Reliance will route calls on the network of its FLAG Telecom unit, which operates under-sea cable lines.

An interconnection between FLAG and China Telecom's domestic infrastructure has been set up in Hong Kong.

With the new connectivity deal, call tariffs to China would fall by about 55 per cent and cost Rs 8 per minute.

"This investment will enable India and China to effectively support the enormous increase in international communications traffic into, from and between our two countries," Leng Rongquan, vice president at China Telecom Group said.

India is the world's fastest-growing major mobile market, with 68 million users and nearly 3 million new users signing up every month.

Reliance Infocomm is India's second-largest privately owned mobile phone operator, with more than 13 million customers, mostly operating on CDMA technology.

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