China's telecom sector has experienced decade-long reform and market opening. The reform and prospects of China's telecom service industry are analysed in 4aspects: infrastructure development, industrial restructuring and regulation, market structure, and market opening. A competitive market has been preliminarily shaped, and its infrastructure is well advanced; but the market regulatory system and foreign direct investment is still rather inadequate. To meet WTO commitments, first priority must be given to improving regulatory system and further relaxing FDI restrictions.
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