China Unicom Happy About Partnering With Apple
Last time, China Unicom was in news for offering free iPhone 4S under certain conditions.
After the arrival of iPhone 4S China and its availability on China Unicom, one of the biggest carriers in China saw a 14 percent bump in profits for 2011. Company executives attributed much of that gain to its exclusivity deal on the iPhone.
Despite the increased income, China’s second largest network still fell short of analyst estimates. Most of the blame was pinned on the carrier’s need to increase capital spending.
New customers means network expansion and more handset subsidies. The firm is augmenting its spending by 30 percent to 100 billion Yuan (about US $16 billion) to keep up. This extra expense caused stock in the network to cool a little, falling 3.1 percent after the announcement.