In March, the number of mobile phone subscribers of Chinese telecommunications firms topped 1 billion for the first time, according to Brian White of Topeka Capital.
As reported in Forbes, the noted tech analyst claims that China’s three principal carriers, China Unicom (CHU, quote), China Telecom (CHA, quote), and China Mobile (CHL, quote) had 1.01 billion subscribers as of last month.
Importantly for the further growth of the abovementioned equities, the lucrative 3G sector continues to expand in China. As of March, China had 152 million 3G subscribers, up 5.8% from February.
As with many markets around the world, the Apple (AAPL, quote) iPhone continues to play a major role in stocks with exposure to this phone’s electrifying growth. While smaller carriers China Unicom and China Telecom currently offer the Apple device, White hypothesizes that mobile behemoth China Mobile may work out a deal with Apple later in the year. An agreement with China Mobile would give Apple access to 667.2 million mobile phone users and 59.6 million 3G subscribers.
All three Chinese mobile service providers are set to take advantage of increased 3G usage and higher fees from data transmitted to and from these devices. Investors should take a look at China Mobile because of the prospect of the company striking a deal with Apple, its low valuation at just 11.3 times trailing earnings, and its 3.85% dividend all make this stock compelling at these levels.