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Services/apps mobile

China Telecom Forms Messaging JV

BEIJING -- China Telecom Corporation Limited ("China Telecom") and NetEase, Inc. (NTES) today announced that they have established a joint venture which is launching "YiChat", a proprietary social instant messaging application for smart phones.

YiChat differentiates itself from other social instant messaging applications through the integration of various unique technologies. For example, YiChat users can enjoy sending free text and voice messages to any mobile phone or free voice messages to fixed lines, without the need for YiChat to be installed on the receiving devices. Among its specially developed and distinctive features, YiChat offers proprietary environmental noise reduction technology, high-quality photo messaging and various original stickers and emoticon designs. Moreover, all China Telecom users can enjoy additional free data promotional packages with their use of YiChat.

"The joint venture with NetEase and the launch of YiChat is a crucial step in China Telecom's strategic transformation," said Jie Yang, President and COO of China Telecom. "It demonstrates China Telecom's commitment to mobile Internet development. Aiming to make YiChat one of the most popular social instant messaging applications for young people in China, China Telecom will work towards the success of the joint venture and YiChat with the most sincere determination."

NetEase.com Inc. (Nasdaq: NTES)

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