Aug 19th 2013, 13:30, by Michael Kan, IDG News Service
China Telecom is moving into the mobile instant messaging space with its own app that will compete against WeChat, the rival product from Internet giant Tencent that's become a hit in China.
China Telecom on Monday launched the YiChat app in partnership with NetEase, an Internet portal and game operator in the country. YiChat comes as a free download for both Android and Apple's iOS, and allows users to send free text and voice messages.
A major selling point of the app is that it can also send free messages to handsets or phones on fixed lines without the need for YiChat to be installed on the receiving device. China Telecom customers who use YiChat will also have access to additional free data services.
WeChat is popular around the globe.
YiChat marks China Telecom's attempt to expand into China's social networking arena at a time when the company's profits have been charting a bumpy trajectory. Although the demand for mobile phone and data services in the country continues to grow, the rise of social networking and messaging apps from local Internet firms has threatened to take away lucrative revenue from mobile operators such as China Telecom, according to analysts.
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