Abstract
The formation of two new enterprises outside China's Ministry of Posts and Telecommunications (MPT) to provide advanced data communication services and long-distance voice services represents a new phase in the development of China's telecommunication sector. The author focuses on how two distinct policy agendas have contributed to this change. One is the desire of domestic interests who want to break into the lucrative telecommunications business and are dissatisfied with the MPT's ability to provide advanced business services. The other is the desire on the part of the Communist Party to maintain control of the nation in an environment of rapid economic growth and decentralizing reforms.
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