Hong Kong Telecom
HKT Limited, also known as Hong Kong Telecom, is one of the largest telecommunications company of Hong Kong. It has a dominant position in fixed-line, mobile, IDD and broadband services in Hong Kong. HKT Group is a subsidiary of PCCW since 2000, after it was acquired from Cable & Wireless plc.
The company, along with HKT Trust, is a pair of listed corporations in the Hong Kong Stock Exchange, which the two corporations were bundled as one single stapled security.
Corporate identities
The former holding company of the group was Cable & Wireless HKT Limited, it was a subsidiary of Cable & Wireless plc. It was taken over and privatised by PCCW in 2000. PCCW also started to use the ticker symbol "8" after the takeover. Cable & Wireless HKT Limited was formerly known as Hong Kong Telecommunications Limited, which was incorporated in 1987; it was renamed to Cable & Wireless HKT Limited in 1999, but renamed again to PCCW-HKT Limited in 2000; PCCW-HKT still use the same registered Chinese name until 2011, which in the same year the Chinese name became the registered Chinese name of HKT Limited instead.PCCW-HKT had a major subsidiary PCCW-HKT Telephone Limited, which was incorporated in 1925 under the name Hongkong Telephone Company, Limited; it was briefly known as Cable & Wireless HKT Telephone Limited from 1999 to 2000., PCCW-HKT as well as PCCW-HKT Telephone were still live, wholly owned subsidiaries of PCCW. However, the telephone services is now provided by HKT's wholly owned subsidiary Hong Kong Telecommunications Limited instead, after a group restructure in 2008.
In October 2011, PCCW shareholders approve a partial spin-off of the assets as HKT on the Hong Kong stock exchange. HKT is successfully listed on 29 November 2011, as HKT Limited and HKT Trust. HKT Limited was incorporated in the Cayman Islands, while its direct parent entity, HKT Trust, was set up in Hong Kong under the laws of Hong Kong.
History
Domestic telecommunications facilities in Hong Kong became more advanced in 1925 when the Hong Kong Telephone Company Limited took over the interests of John Pender's China and Japan Telephone and Electric Company. The company's mandate included providing all the British colonies with local telephone services. Over the next six decades Hong Kong Telephone's line capacity grew to more than 2.5 million, with the company serving approximately six million people.Telecommunications became increasingly important following World War I, and in 1929 the British companies Marconi Wireless and Eastern Telegraph joined to establish Cable & Wireless. The company's strategy was to supply telephone and telegraph services in Britain's colonies, and it succeeded in securing an exclusive franchise to provide international communications services in Hong Kong.
By 1972 the company's biggest operation was its subsidiary in rapidly growing Hong Kong. Hong Kong Telephone, meanwhile, built a new headquarters in 1972. The company's growth was said to typify the colony's transition from an economy based on manufacturing to one dependent on service industries, which created a demand for telecommunications services. In 1975 Hong Kong Telephone's franchise for domestic service in the colony was extended for an additional 20 years, to expire just ahead of Hong Kong's reversion to China's control in 1997.
Chronology
Hong Kong Telephone Company
- 1906: China and Japan Telephone and Electric Company acquired a 25-year franchised licence on fixed-line.
- 1925: China and Japan Telephone and Electric Company was acquired by Hong Kong Telephone Company Limited. The government also granted HKTC a 50 years franchised licence on telephone service.
- 1968: HKTC's franchise was extended for another 20 years.
- 1983: HKTC started to build their own mobile radiotelephone service, which was supplied and installed by NEC; in the next year the service went public under HKTC's subsidiary Communication Services Limited
Cable and Wireless (Hong Kong)
- 1871: The predecessor of Cable & Wireless established its Hong Kong branch, for its submarine communications cables that connect from Hong Kong to Saigon, Fuzhou, Manila, Labuan and Macau
- 1962: Cable & Wireless acquired a 25-year franchise for telephone and telegraph services
- 1981: The Hong Kong branch of Cable & Wireless plc was incorporated as Cable and Wireless Limited. Hong Kong government was a minority shareholder for 20%.
- 1983: Cable and Wireless acquired 34.8% shares of HKTC from Jardine Matheson.
- 1986: Cable & Wireless also announced plans for an underwater optical fibre cable connecting Hong Kong with Japan and South Korea, to become operational in 1990.
Hong Kong Telecommunications
- 1987: Cable & Wireless and Hong Kong Telephone Company merged to form a new telecommunications group, with the new holding company called Hong Kong Telecommunications Limited, replacing Hong Kong Telephone Company as a listed company on the stock exchange of Hong Kong and as one of the constituents of Hang Seng Index. Government of Hong Kong owned around 5.5% shares of the new company immediately after the merger; Cable & Wireless plc remained as the largest shareholder.
- 1990: Chinese government controlled CITIC Hong Kong acquired 20% shares of Hong Kong Telecommunications from former British state owned enterprise Cable & Wireless plc.
- 1995: HKTC's franchise expired. HKTC was one of the 4 companies to receive the new licence in local fixed-line services
- 1999: Hong Kong Telecommunications Limited was renamed to Cable & Wireless HKT; the subsidiaries, HKTC was renamed to Cable & Wireless HKT Telephone Limited; HKTI was renamed to Cable & Wireless HKT International.
- 2000: Cable & Wireless HKT was acquired by PCCW. Cable & Wireless HKT was renamed to PCCW-HKT Limited; the subsidiary HKTC was renamed to PCCW-HKT Telephone Limited; while HKTI was renamed to PCCW-HKT International
- 2001: the subsidiary HKTI was renamed to Reach Networks Hong Kong, it became a wholly owned subsidiary of Reach Limited instead, a joint venture of PCCW and Telstra; 60% stake of CSL was also sold to Telstra
- 2002: the remaining stake of CSL, the only mobile network operator of the group, was sold to Telstra
- 2005: PCCW-HKT takeover Sunday Communications, relaunching its mobile network operator as PCCW Mobile
- 2007: PCCW-HKT Telephone acquired the licence of CDMA2000 mobile network operator, and launched the services in the next year.
- 2008 to 2011: Hong Kong Telecommunications Limited was incorporated; Moody's ceased to assign credit rating to PCCW-HKT Telephone Limited and assign a new rating to Hong Kong Telecommunications Limited instead; it was reported that PCCW-HKT Telephone would become dormant. In the same year, some of the subsidiaries of PCCW, were transferred to an intermediate holding company HKT Group Holdings Limited, for example PCCW Global, PCCW Mobile, PCCW Media, PCCW Solutions, and engineering division Cascade Limited. However, PCCW re-organised HKTGH again in the eve of the 2011 IPO of HKT Limited, which some non-telecommunications businesses were spin-off from HKTGH. PCCW Media and PCCW Solutions for example, were directly owned by PCCW again. Also, HKTGH became a subsidiary of HKT Limited.
HKT Limited
- 2011: PCCW made HKT Limited, c/o HKT Trust, a spin-off business that separate listing on the Hong Kong stock exchange.
- 2012: HKT's PCCW Global acquired Gateway Communications, a satellite services provider
- 2014: HKT re-acquired CSL from Telstra and New World Development; CSL and PCCW Mobile merged, with CSL as the surviving brand; the brand New World Mobility of the former CSL New World Mobility Group was renamed to Sun Mobile
- 2017: HKT and subsidiary PCCW Global jointly-acquired Console Connect, a provider of global interconnection solution.
Subsidiaries and services
- Netvigator
- CSL Mobile
- Sun Mobile
- PPS – a bill payment service provided by HKT and EPS.
- The Club – a Hong Kong customer loyalty program.
- HKT Teleservices – formerly PCCW Teleservices, a contact centers and business process outsourcing provider
- HKT Payment Limited – the developer of "Tap & Go", a prepaid mobile payment service for Hong Kong users.
- HKT-eye – over-the-top media services and internet protocol TV service delivered to firmware-modified tablet computer
- PCCW Global
- * Console Connect
- iTV, an interactive television
Controversy