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In a landmark achievement for the British Telecom (BT), the Ministry of Industry and Information Technology (MIIT) in China has approved its applications for a nationwide domestic IP-VPN license and internet service provider license. BT is the first international telecommunication provider to get the licenses in China to provide IP-VPN and Internet services.

What BT Can do?

The two licenses (Nationwide IP-VPN and Nationwide ISP) enable BT China Communications Limited to contract directly with its customers in the country and bill them in local currency. BT can open offices anywhere in China and employ staff, operate and participate in domestic tenders for projects.

These value-added licenses represent a major step for BT in China where many of its multinational customers require secure and reliable connectivity to expand within the country.

Ministry of Industry and Information Technology

Ministry of Industry and Information Technology (MIIT) was established in March 2008. MIIT is the state agency of the People’s Republic of China responsible for regulation and development of the postal service, Internet, wireless, broadcasting, communications, production of electronic and information goods, software industry and the promotion of the national knowledge economy.

Telecom Projects in China

It is estimated that half of the global consumption of optical fibers for telecommunication belongs to China. What does it mean? The telecom projects in China alone is equivalent to the whole projects in the rest of the world. This applies to the jobs created in telecom projects, manufacturing, deployment and service sectors – equal to a massive deployment concentrated in one country. Fiber to the home deployments, Backbone infrastructure developments for mobile and wireless communication technologies and IoT and the recent AI related developments need a robust network for support.

Political Side

China gets a good friend in Europe at a time when the United States squeezes it.

UK’s International Trade Secretary, Dr. Liam Fox MP said: “I am very pleased that close cooperation between the UK and Chinese governments has resulted in BT securing these licenses which will enable it to operate across the country. This major milestone exemplifies the vital work of my international economic department to open up markets and ensure that UK firms are represented on the global stage.”