VATs Market Development Report

The Chinese Academy of Information Communications Technology (CAICT) published a report on China’s Value Added Telecoms Services (VATs) Market. At the end of June, there were at total of 36,361 legally operating VATs companies, of which 4,567 were MIIT-approved inter-regional operators. Compared with last moth there was a 2.16% and 5.6% increase in VATs respectively. Of the 4,567 national VATs providers, 4,396 companies or 96% were privately controlled companies while state-owned companies and foreign-invested companies only accounted for 2.93% and .91% respectively.

In examining specific services provided, of the 44,943 different services offered, 24,352 or 54% of all VATs were categorized as Internet information services providers. The next largest service category was (non internet) Information services at 25% followed by call center services at 7%.

In terms of regional development, 68% of all companies are registered in Beijing, Guangdong, or Shanghai.