NewChina Mobile timed for boost with Apple Watch
China Mobile expects to broaden links with Apple with the launch of US tech giant's smartwatch tapping into its subscriber base
China Mobile could be poised to broaden its 14-month-old alliance with Apple as the US technology giant prepares to release its new wearable smart device, the Apple Watch, next month on the mainland.
"We believe it is time for us to expand our collaboration," China Mobile chairman Xi Guohua told reporters onn Thursday.
Although there have been no talks yet between the two sides about supporting the Apple Watch, Xi said: "I can assure you that so long as there is a market for the product in China, that would be the basis of our further collaboration with Apple."
Analysts see the mainland as potentially the biggest market for Apple Watch this year. Adding China Mobile, the world's largest wireless network operator, as a sales channel opens up the opportunity to sell the watch to its 90 million 4G users, out of a total subscriber base of 806.63 million at the end of December last year.
"China Mobile would be able to target more high-end 4G customers by bundling the Apple Watch as an accessory to the iPhone under a tariff plan with additional services," said Ricky Lai, a research analyst at Guotai Junan International.
But those prospects were small comfort to investors on Thursday. China Mobile lost about HK$70 billion of its market capitalisation as its shares fell 3.29 per cent to HK$100.10. Its market cap now is HK$2.03 trillion.