Editorial Summary

China Unicom (NYSE: CHU, 762.HK, 600050.SH) and China Telecom (NYSE: CHA, 728.HK) have delayed their CDMA deal as a result of disagreements on how to distribute certain assets, reports National Business Daily quoting an industry insider. The insider said the companies are divided on who should own the rights to certain base station resources including those that serve the dual CDMA/GSM network and how to distribute China Telecom's wireless connection equipment. China Unicom secretary Zhu Jieyi said the delay is a result of normal operation procedures. China Unicom announced on Tuesday that the sale of its CDMA network to China Telecom would be delayed from June 23 to no later than August 31, 2008. China Unicom is expected to sell its CDMA network to China Telecom for a total of RMB 110 million.