Thursday, August 28, 2025

State-owned Chinese telecom gets 30-year-permit to operate in Mexico

A Chinese state-owned telecommunications company has obtained permission to operate in Mexico for 30 years. 

The Federal Telecommunications Institute (IFT) has granted China United Network Communications Group, known as China Unicom, a license to operate here, the newspaper El Economista reported Wednesday. 

It said that the license allows the Hong Kong-based business – one of China’s largest telecommunications companies – to enter the fixed and mobile telephone markets in Mexico. 

However, China Unicom initially intends to provide technological services – including dedicated links and data transmission capacity – to customers including corporate businesses, El Economista said, adding that its competitors will be firms such as Alestra, Axtel, Telmex, MCM, Bestel and Totalplay.  

Chen Zhongyue, Exec Director and President China Unicom
Chen Zhongyue, China Unicom’s executive director and president, runs one of China’s biggest telecommunications companies.

Citing IFT documents, El Economista also said that the Chinese company is interested in developing its own fiber-optic networks. In that area, it would be a competitor of companies such as Century Link, Estevez.Jor and Neutral Networks.  

China Unicom, which has some 155 million mobile customers in China, submitted an application for a permit to operate in Mexico in March, and IFT approved it in July. However, the regulator has only just made its decision public, the newspaper said. 

China Unicom’s authority to operate in the United States was revoked by the U.S. Federal Communications Commission (FCC) in January due to national security concerns. The FCC last month named China Unicom and two other Chinese telecommunications companies as threats to U.S. national security as they are subject to Chinese government influence and control. 

With reports from El Economista

Have something to say? Paid Subscribers get all access to make & read comments.
foxconn offices

Foxconn invests US $168M to expand AI server production at Jalisco plant

2
The investment is part of the Taiwanese company's domestic expansion plans and helps Mexico position itself as a key player in advanced technology manufacturing.
Villa Victoria dam reservoir

Mexico City’s main water supply system at highest level in 5 years 

0
The capacity of the Cutzamala System had dropped under 50% as recently as last May, but the recent above-average rainfall has boosted its level to 70.7%.
steel

Mexico’s steel exports to US are down 16.6% in wake of tariff

0
The United States implemented 25% tariffs on imports of steel and aluminum from countries around the world on March 12. The duty for most countries, including Mexico, was doubled to 50% on June 4.
BETA Version - Powered by Perplexity