Reborn in 1984: Starting with the Development of Chinese Character Cards, Chapter 159: The Launch of Xiaolingtong! !! The shareholders' meeting turned into a full-blown brawl. Although it was unbelievable, it seemed even more inconceivable that members of parliament across the Pacific Ocean would fight in the "Black House" meeting room.
Thinking about it that way, Zhao Ye didn't find it strange at all.
At this point, the share price of Hong Kong Telephone Company plummeted.
The major shareholders could no longer sit still and hurriedly contacted Zhou Anping, expressing their agreement to his conditions.
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End of July 1988.
Wujiang Communications Technology Co., Ltd. and Cable & Wireless jointly acquired Hong Kong Telephone Company, and later merged Hong Kong Telephone Company and Cable & Wireless Limited into Hong Kong Telecom Company.
This news came as a complete surprise.
Many shareholders wept with joy, their patience finally paid off, as the Hong Kong Telephone Company was acquired and the value of their shares immediately soared.
As for those shareholders who sold their Hong Kong Telephone Company shares at low prices, they are now filled with regret.
Regardless, Wujiang Group has successfully gained control of Hong Kong's telecommunications industry, further strengthening its influence in Hong Kong.
Wujiang Communications Technology Co., Ltd. acquired the telecommunications company primarily to promote CDMA technology.
However, CDMA technology is not mature enough at present, and rushing to implement it may pose huge risks.
However, Wujiang Communications Technology Co., Ltd. can promote PHS (Personal Handyphone System) in Hong Kong.
Although Hong Kong has a small land area, it has a large population. According to statistics, Hong Kong had 5.62 million people in 1988.
Motorola phones were expensive, costing around HK$30,000 to HK$40,000 each, and the monthly fees were also very high. Therefore, most Hong Kong people still used landlines or pagers.
PHS (Personal Handyphone System) definitely has a huge market prospect in Hong Kong.
After seeing the PHS (Personal Handyphone System) technology from Wujiang Communications, the Eastern Telegraph Office was glad that it had chosen to cooperate with Wujiang. Otherwise, once the PHS technology was launched, many people in Hong Kong would have become Wujiang PHS users.
PHS (Personal Handyphone System) is simply an extension of landline phones and does not require a mobile communication license in the country.
In Beiping, due to numerous issues to consider, negotiations with Wujiang Communications Technology Company are still ongoing, while in Hong Kong, plans have already been made to launch the PHS (Personal Handyphone System) service.
Lu Jia arrived in Hong Kong at this time and personally took charge of promoting Xiaolingtong (a type of mobile phone service).
Hong Kong Telecom headquarters.
Lu Jia, Luke Teresa, Warren Tony, and others are meeting to discuss the promotion plan for Xiaolingtong (a type of mobile phone service).
“A 500-milliwatt PHS base station has a very small coverage area, with a maximum coverage radius of about 300 meters. So, basically, one base station must be built for every neighborhood. Fortunately, the investment in PHS base stations is relatively low, so we can build more base stations to cover the entire Hong Kong area! I’ve calculated that we need to build about 5,000 base stations. We won’t build base stations in remote rural areas. The base stations will mainly be built in densely populated areas, which is more economical!” Luke Teresa said. He is now the general manager of Hong Kong Telecom, while Warren Tony has become his deputy.
Lu Jia pondered for a moment and said, "Each Xiaoling base station costs about HK$100,000. If there are 5,000 base stations, the total investment would be HK$500 million."
According to statistics from the previous generation, there were over one million PHS (Personal Handyphone System) base stations in China, with a total investment of over 100 billion yuan.
In fact, Wujiang Communication Technology Co., Ltd. had a lower cost to build PHS base stations, but "even close brothers should keep clear accounts." The Eastern Telegraph Office was another major shareholder of Hong Kong Telecom, and the price of HK$100,000 for a PHS base station was already considered very favorable. If other companies installed base stations, Wujiang would only charge more.
Ahem... The installation cost of a PHS (Personal Handyphone System) base station is only around 10,000 yuan. It's 100% domestically produced, so the cost is low. There's no other way.
In my past life, it was common to see many families with PHS (Personal Handyphone System) base stations installed on their rooftops. A quick glance was enough to tell that these things weren't very valuable.
Warren Tony said, "An investment of HK$500 million is quite large. However, as long as PHS can cover the entire Hong Kong, the benefits for Hong Kong Telecom will be enormous. Firstly, it will gain users; secondly, it will secure long-term and stable tariffs. Hong Kong has more than five million people. Even if it only gains one-tenth of the users, Hong Kong Telecom will make a fortune!"
After a pause, Warren Tony calculated, "The initial subscription fee for PHS users is HK$1,000, and the average monthly fee is HK$100. Assuming there are only 500,000 users in the first year, Hong Kong Telecom can still generate HK$1.1 billion in revenue. In other words, in just one year, we can not only recoup our costs but also make a huge profit!!!"
Hong Kong is not like other places; its economy is prosperous, and many things are expensive.
Besides, it's 1988 now, and it's normal for tariffs to be a bit higher when new technologies are first introduced. As for the network access fee, that's basically how telecommunications companies make money. After all, they've spent so much on investing in base stations, so it's reasonable for you to pay a network access fee...
Buying a Motorola mobile phone comes with a network access fee of HK$5,000, and the monthly fees are not cheap either, with a minimum charge of several hundred Hong Kong dollars. Some people can afford to buy a Motorola mobile phone, but end up not being able to afford the fees.
In Hong Kong, Motorola mobile phones remain a luxury item.
In 1988, the average Hong Kong resident's monthly salary was only around HK$2,500. How many people would be willing to spend tens of thousands of dollars on a mobile phone and then have to pay so many fees?
The retail price of a PHS phone is 5,000 yuan, and the network access fee is 1,000 yuan. Hong Kong people can buy a portable phone with just two or three months' salary. How could they not be tempted?
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