The U.S. Justice Department and other federal agencies on Thursday called on the Federal Communications Commission (FCC) to revoke China Telecom (Americas) Corp's authorization to provide international telecommunications services to and from the United States. China Telecom is the U.S. subsidiary of a People’s Republic of China (PRC) state-owned telecommunications company.

China Telecom Corporation Limited ("China Telecom" or "the Company"; HKEx: 00728; NYSE: CHA) was voted by portfolio managers and analysts around the globe as "No.1 Best Telecommunications Company in Asia", at the "Asia's Best Managed Companies Poll 2020" by FinanceAsia, a reputable financial magazine in Asia. The Company's Chairman and CEO, Mr. Ke Ruiwen, was voted as "No.2 Best CEO in China".

(Bloomberg) -- Huawei Technologies Co. is emerging as the runaway winner in China’s $170 billion effort to build out its fifth-generation wireless networks, part of a concerted effort by Beijing to seize the lead in a key technology from the U.S. while rebooting a virus-stricken economy.Since the beginning of the year, Huawei has secured 28.4 billion yuan ($4 billion) worth of 5G equipment orders from the country’s largest carrier, China Mobile Ltd., beating out competitors like Ericsson AB and ZTE Corp. to win more than half of the 5G contracts awarded by the operator during the period, according to an analysis of procurement data by Bloomberg News.Huawei is relying on its home market more than ever, at a time its growth has all but evaporated. The 5G contract haul shows Huawei is benefiting from the domestic market and building its telecommunications expertise despite the Trump administration’s blacklisting last year. Beijing has forcefully defended Huawei, and the country’s three wireless operators -- all state-backed -- have added support through network contracts.While China has spent years striving for leadership in 5G, the effort took on greater urgency after the coronavirus led to the nation’s first economic contraction in decades. In a meeting with senior officials in March, Chinese President Xi Jinping singled out the technology’s importance for rebooting the economy. Weeks later, the country’s telecom regulator said China will “make every effort” to hasten the expansion of 5G coverage.“The focus on buildouts, handsets, and other metrics misses the fact that 5G will be a platform where innovative Chinese companies such as Alibaba, Tencent, Baidu, and a host of new tech unicorns will be able to build new applications and use cases,” said Paul Triolo, head of global technology policy at Eurasia Group. “Beijing wants Chinese companies to lead in this race to innovate on top of 5G.”China is entrusting Huawei to galvanize 5G tech, a cornerstone of a national “new infrastructure” blueprint that covers nascent technologies from the Internet of Things and autonomous driving to surveillance and factory automation. An early and successful rollout could help solidify Huawei’s position as a world leader in 5G.More deals are on the horizon. China has earmarked 1.2 trillion yuan to build 5G networks in the next five years, directly creating more than 3 million jobs in related sectors, according to the China Academy of Information and Communications Technology, a government think tank. IDC telecom analyst Cui Kai said 5G investment will continue to climb and peak in 2022 or 2023.This year, China’s three state-owned telecom carriers will spend a total of 180 billion yuan on 5G-related projects, including base stations and smartphones. China Telecom and China Unicom still have to announce bidding results.The 5G contracts give Huawei a much-needed boost as some projects in Europe grind to a halt because of Covid-19. Huawei this week reported revenue growth slowed to 1.4% in the first three months -- down from 19% over all of 2019 -- following pressure from the U.S. and dampening demand brought about by the outbreak.The Shenzhen-based company clinched deals to build more than 132,000 base stations for China Mobile across the country worth 21.4 billion yuan. The telecom carrier awarded rival ZTE Corp. 5G base station contracts worth 10 billion yuan, while Ericsson’s haul was around half of that. Nokia Oyj, which runs its China business via a joint venture with a local partner, didn’t get any of the business.Huawei won 56% of total orders by China Mobile for slicing packet network construction, or SPN, responsible for 5G data transmission between base stations and the core network. This brought in another 5.6 billion yuan in revenue.Huawei and ZTE also split 5G data management orders worth 1 billion yuan, leaving a fraction of the order to Ericsson, according to two separate procurement documents from China Mobile.In addition to 5G infrastructure, China Mobile placed orders with Huawei’s consumer electronics unit from the beginning of the year, including for about 70,000 units of the latest 5G smartphones and 140,000 5G portable Wi-Fi devices, without providing the procurement price. Most 5G phones in China cost around 4,000 yuan retail but carriers usually buy popular smartphone models from vendors at a discount.China Mobile had 31.7 million 5G package subscriptions nationwide as of March, more than doubling the subscription number in February, according to its website. 5G smartphone sales are expected to increase as more telecom carrier branches around the country place orders. Not all will be Huawei sales. So far this year, the carriers purchased more than 130,000 units of 5G smartphones from rivals Oppo and Vivo, the data show.Huawei’s 5G boost has benefited its suppliers. Shares of printed circuits board maker Shennan Circuits Co. Ltd. jumped more than 60% since the beginning of the year. Wuhan Fingu Electronic, a maker of radio frequency components used in base stations, increased by about 25%.Still, some doubt that 5G will be the savior that China is seeking. Gavekal Dragonomics analyst Dan Wang said that 5G doesn’t look like a big factor in moving the economy. “It’s a build-first-and-ask-questions later approach led by the state,” he said. “There’s not yet a killer app.”Huawei has put up a fierce fight since Washington banned the Chinese company from getting key American technologies last year. In the latest development, the Trump administration was said to consider imposing restrictions on the sale of semiconductors to Huawei by chipmakers such as Taiwan Semiconductor Manufacturing Co. and Samsung Electronics Co., a move that would effectively deprive the Chinese giant of using the most advanced chips.“There’s no question that China’s state-owned telecom operators can direct a lot of business to Huawei,” said Wang. “The company’s problem, however, is on the supply side. Escalating U.S. sanctions might be highly disruptive.”(Updates with Huawei’s latest quarterly results in the third paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

The Federal Communications Commission (FCC) on Friday said it may revoke the ability of four Chinese government-controlled telecommunications companies to operate in the United States, citing national security risks. The FCC issued show cause orders to China Telecom Americas , China Unicom Americas, Pacific Networks, and ComNet directing them to explain why the FCC should not start the process of revoking their domestic and international section authorizations enabling them to operate in the United States. Earlier this month, the U.S. Justice Department and other federal agencies called on the FCC to revoke China Telecom's ability to operate in the United States.

China Telecom Corporation Limited ("China Telecom" or "the Company"; HKEx: 00728; NYSE: CHA) is pleased to announce that the Company was accredited with "Platinum Award - Excellence in Environmental, Social and Governance" in the poll of "ESG Corporate Awards 2019" by The Asset. The Company attained the award for the 11th consecutive year. In addition, the Company's "Cloudification in 5G" strategy was awarded "Highly Commended Initiative in Innovation".

The Federal Communications Commission (FCC) on Friday said it may shut down the U.S. operations of three state-controlled Chinese telecommunications companies, citing national security risks. The FCC issued so-called show cause orders to China Telecom Americas, China Unicom Americas, Pacific Networks Corp and its wholly owned subsidiary ComNet (USA) LLC, directing them to explain why it should not start the process of revoking authorizations enabling their U.S. operations.

(Bloomberg) -- The Federal Communications Commission threatened to bar four telecommunications operators unless they can show they’re independent from the Chinese government, the latest in the agency’s efforts to limit Beijing’s role in U.S. networks.The agency named China Telecom Americas, China Unicom Americas, Pacific Networks and its subsidiary ComNet, and told them to respond within 30 days. The companies need to explain why the agency shouldn’t move to revoke their authorizations, according to the FCC.The action reflects “deep concern” among U.S. government agencies, FCC Chairman Ajit Pai said in an emailed statement.Pai said the companies are vulnerable “to the exploitation, influence, and control of the Chinese Communist Party, given that they are subsidiaries of Chinese state-owned entities. We simply cannot take a risk and hope for the best when it comes to the security of our networks.”The U.S. and China are at odds over a suite of issues such as the spread of the novel coronavirus, trade, and security of telecommunications networks. U.S. officials have moved to bar Chinese equipment maker Huawei Technologies Co. as a security threat, an assertion the company denies.China Telecom “has been operating in good standing in the United States for nearly 20 years,” Ge Yu, a spokesman, said in an email. “We look forward, in the coming weeks, to sharing information with the FCC that speaks to our role as a responsible telecom company.”Emails to China Unicom weren’t immediately returned, and the telephone system at ComNet’s California offices didn’t accept a voicemail. ComNet and Pacific Networks are owned by Citic Group Corp., a Chinese state-owned limited liability company, according to the FCC. An email to Citic’s telecommunications unit wasn’t immediately returned.In an earlier filing by U.S. security agencies, the FCC told China Telecom to respond to concerns the Beijing-based telecommunications provider is a national security threat. China Telecom said it “unequivocally” denied the allegations.The FCC barred China Mobile from the U.S. market last year and said it would review other companies’ record.Senator Tom Cotton, an Arkansas Republican, said he supports the FCC’s action.“No matter their cries to the contrary, these firms are beholden to the Chinese Communist Party, and their operation in the United States will continue to pose a threat to our critical networks as long as it continues,” Cotton said in a news release. “Chairman Pai has rightly identified the magnitude of the Chinese telecom contamination.”(Updates with statement from China Telecom in sixth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

China's foreign ministry said on Friday that Beijing is opposed to any action by the United States to revoke China Telecom Corp's authorisation to provide international telecommunications to and from the United States. Chinese foreign ministry spokesman Zhao Lijian told reporters during a daily briefing that the United States must stop politicizing commercial matters.

(Bloomberg) -- A group of U.S. security agencies is urging the Federal Communications Commission to revoke China Telecom’s permission to operate in the country.“This recommendation reflects the substantial and unacceptable national security and law enforcement risks” associated with China Telecom’s access to the U.S. telecommunications network, the agencies said in a filing at the FCC.The U.S. and China are at odds over a suite of issues such as the spread of the novel coronavirus, trade, and security of telecommunications networks. U.S. officials have moved to bar Chinese gear maker Huawei Technologies Co. as a security threat, an assertion the company denies.China Telecom “unequivocally” denies the allegations, a representative said in an email.“The company has always been extremely cooperative and transparent with regulators,” said the representative, Ge Yu. “In many instances, we have gone beyond what has been requested to demonstrate how our business operates and serves our customers following the highest international standards.”Thursday’s recommendation to revoke an authorization held by China Telecom since 2007 is part of a review announced last year by the FCC, as the commission barred China Mobile Ltd. from the U.S. market. The FCC usually follows recommendations from security agencies.“We welcome the input of the executive branch agencies and will review it carefully,”said Tina Pelkey, an FCC spokeswoman.‘Beholden’“The threat from China Telecom is a reflection of the threat that we see from Chinese telecommunications companies generally,” said John Demers, assistant attorney general for national security. “They are beholden to the government of China both by law and in fact to do its bidding.”“We have seen behavior in violation of the mitigation agreement that we had entered into with China Telecom at the time that the license was approved,” Demers said. “That raises national security concerns.”Agencies taking part in Thursday’s filing include the Departments of Justice, Homeland Security, Defense, State, Commerce and the U.S. Trade Representative.China was also a factor in another recent regulatory decision. Alphabet Inc.’s Google and Facebook Inc. won U.S. regulatory approval for an undersea trans-Pacific internet cable on condition the project not carry data traffic to Hong Kong.“There is a significant risk that a direct cable connection between the United States and Hong Kong would seriously jeopardize the national security,” the Justice Department said in an April 8 filing to the FCC.‘Disrupt and Misroute’China Telecom offers U.S. customers access to international private lines, which it markets as providing secure bandwidth for sensitive data, according to the filing. It also offers mobile service under the CTExcel brand name, according to the filing.The Chinese government has “ultimate ownership and control” of China Telecom, and the company’s U.S. operations “provide opportunities for increased Chinese government-sponsored economic espionage,” according to the filing.The company made inaccurate statements about where its records were stored, and had “inadequate”cybersecurity and privacy practices, the agencies said in the filing.The scope of China Telecom’s activities in the U.S. wasn’t immediately clear. The security agencies said the company connects to the Internet at 18 points, giving “Chinese government-sponsored actors with openings to disrupt and misroute U.S. data and communications traffic.”The company on its website lists six U.S. offices in New York, Los Angeles and other cities, with a headquarters in Herndon, Virginia, near Washington, D.C. China Telecom works “to deliver high-quality data and voice solutions and services between the Americas and China to businesses and carriers,” according to the website.The parent company, China Telecom Corp., says it’s the second-largest mobile provider in China, with 336 million subscribers. Revenue at the company’s China Telecom Americas business has had 68% compound growth annually since 2005, according to the company’s website.(Updates with FCC statement in 7th paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

(Bloomberg) -- Leon Li is the rarest of Chinese crypto magnates -- one who’s won Beijing’s backing. The founder of Huobi Group is now set to play a pivotal role in China’s effort to build a homegrown crypto-industry.The former Oracle Corp. coder, who started one of the world’s largest Bitcoin exchanges six years ago, enjoys unusual access to China’s central bank and government officials thanks to methodical engagement and measured expansion. While rivals Binance and OKEx irked regulators by stoking Bitcoin mania, Li curried favor by discouraging speculation, co-founding the country’s first state-backed blockchain platform along the way. Huobi even set up a Communist Party committee in-house -- a first for any crypto firm.That’s why, keen to explore homegrown alternatives to Facebook Inc.’s Libra and a Western-led blockchain, Chinese central bank and government officials are turning to Li -- among others -- to help develop a local blueprint for crypto supremacy. The still-nascent blockchain arena offers the world’s second-largest economy a rare chance to become an early influencer. Washington’s concerted campaign to contain China has only strengthened Beijing’s resolve to wean itself off American technology.“Once in a lifetime,” said Li, a bookish-looking 36-year-old with thick black glasses. “It’s my hope that we’ll not just be a participant but a driver, even the leader of blockchain history.”Read more: Why China’s Rushing to Mint Its Own Digital Currency: QuickTakeLi co-founded Huobi in the fall of 2013 and later received backing from well-connected ZhenFund and Sequoia China. But the tale of how he and Huobi came to occupy its privileged position really begins in 2017, at the height of Beijing’s paranoia about the potential for unchecked Bitcoin speculation to foment social upheaval.Word trickled down to Li in the summer of that year that officials were preparing a major crackdown on the industry. His instinct was to rush back from medical leave and instruct his team to get Huobi’s almost 2 million registered users to withdraw their funds. But he also began delivering daily progress reports to local regulators and briefed officials whenever requested.Watching his counterparts collapse like dominoes, he realized that regulators meant life-or-death in his world. Li’s since made it his mission to get on Beijing’s good side, from hosting seminars and classes for officials to organizing conferences under the auspices of local government.In addition to consulting for the People’s Bank of China on Libra, Huobi more recently threw itself behind research into blockchain applications that serve the real economy -- a passion project of President Xi Jinping. It’s one of 14 founding members of China’s first state-backed blockchain platform -- an effort led by the country’s top economic planner that will power everything from storing digital contracts to tracing food and drug deliveries. Other members include state enterprises like China Telecom Corp. and China UnionPay Co.“Huobi could play an important role in the local crypto industry, because authorities would probably prefer to see trade go through an entity that they trust, rather than being pushed underground,” said Emily Parker, co-founder of Asia-focused blockchain data site and incubator LongHash. Good relations with Beijing “could be viewed as a sign of stability, as well as a local advantage over a company like Binance, which does not appear to enjoy the same level of trust.”Those years of cultivation paid off during a late-2019 clampdown. While Binance and its co-founder got tossed off Chinese microblogging site Weibo and other outfits got shut down, Huobi emerged unscathed. As the crackdown wound down in December, Li hosted a days-long conference on the fast-liberalizing southern island of Hainan that serves as his second base after Beijing, in a show of support for local government efforts to become a global hub for blockchain technology.At the event, Li pledged to lend his company’s cloud and blockchain expertise to nations participating in Xi’s signature Belt and Road Initiative, and called on his country to counter Libra. “From the perspective of safeguarding national financial sovereignty, autonomy and control are really important issues,” he told delegates. “Can we rely on ourselves to build something as good as Libra?”A spokeswoman for Binance said its larger user base is among its key advantages over Huobi. OKEx representatives declined to comment for this story.Read more: From Pigs to Party Fealty, China Harnesses Blockchain PowerIn the years since Binance and other competitors fled China, Huobi was one of the few major crypto businesses that stayed put and thrived. True, he moved Huobi’s main exchange business to Singapore. But the company’s blockchain consultancy and training arm, Huobi China, remains in-country and around 100 staffers work out of sleek offices built on reclaimed wasteland on Hainan.That unit -- which the company says is profitable -- has instructed more than 1,000 students from Party cadres to executives at state-owned and private companies. Huobi’s own senior executives, Li included, are based in Beijing, as are key teams from coding to business development. His exchange is estimated to have raked in roughly $680 million in revenue for 2019, according to Bloomberg calculations of data by Huobi on token buybacks.Success has come at a cost of personal freedom for Li, who was born into a working-class family in central China and graduated from Beijing’s prestigious Tsinghua University -- Xi’s alma mater. After China shut down exchange trading, the heads of Chinese crypto platforms were reported to have been banned from departing the country. Li said he’s never received any official notice prohibiting him from leaving China but he’s chosen not to, unsure of the risks that would entail.In the longer term, his company’s closeness with Beijing could also be a liability.“Huobi may be aiming for a global leadership role in the industry by molding to regulatory requirements,” said Matthew Graham, chief executive officer of Sino Global Capital, a Beijing-based blockchain consultancy. “Certainly one risk is that this could lead to a loss of trust with overseas customers.”To contact the reporters on this story: Zheping Huang in Hong Kong at zhuang245@bloomberg.net;Colum Murphy in Beijing at cmurphy270@bloomberg.netTo contact the editors responsible for this story: Peter Elstrom at pelstrom@bloomberg.net, Edwin ChanFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

Hedge funds are known to underperform the bull markets but that's not because they are terrible at stock picking. Hedge funds underperform because their net exposure in only 40-70% and they charge exorbitant fees. No one knows what the future holds and how market participants will react to the bountiful news that floods in each […]

Progress on the U.S.-China trade war has boosted Chinese stocks. Alibaba (NYSE:BABA) has broken out to a new all-time high, JD.com (NASDAQ:JD) has returned to mid-2018 levels and the iShares MSCI China ETF (NASDAQ:MCHI) has rallied nicely from August lows. All three are looking like great stocks to buy.For some investors, however, there's a catch: Few Chinese stocks pay a dividend. Income investors looking for stocks to invest in can get exposure to the region through a stock like Apple (NASDAQ:AAPL) or Starbucks (NASDAQ:SBUX). But, for those businesses -- as with many American companies -- China drives only a small portion of revenue and profits.Nonetheless, income investors looking for dividend stocks to buy to capitalize on the Chinese market do have some options. Unsurprisingly, these names do have risk. Yet, they have real rewards, too -- both in terms of dividends and the possibility of further appreciation if renewed optimism toward China persists.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Top-Tier Dividend Stocks for 2020 So, let's take a look at a few Chinese stocks to possibly get your hands on. 3 Dividend Stocks to Buy: Las Vegas Sands (LVS)Source: Andy Borysowski / Shutterstock.com Casino operator Las Vegas Sands (NYSE:LVS) offers potentially the best combination of income and exposure to the Chinese economy. LVS hiked its dividend around 2.6% in 2020 in its third-quarter report, and now yields nearly 4.5% at the current price. That increase was the company's eighth-consecutive annual raise.However, despite its U.S. domicile, Sands's results rely almost solely on Chinese demand at this point. Through the first nine months of 2019, nearly 60% of Adjusted Property EBITDA came from the company's operations in the Chinese enclave of Macau. Nearly another 35% comes from the Marina Bay Sands property in Singapore -- which too attracts Chinese gamblers.As noted before, there are risks. Sands' concession in Macau expires in 2022, and must be renewed. However, the odds of Sands failing to secure an extension are "remote," as credit analyst Fitch put it earlier this year. Also, the thawing of the trade war is a big positive on this front; there was the chance that LVS chairman Sheldon Adelson, a prominent supporter of President Donald Trump, could get his company drawn into the proverbial crossfire.But, as Fitch noted, it's also possible that authorities could raise the tax rate or require other adjustments. Any "hard landing" in China could send profits tumbling. And, the dividend payout ratio is nearing 100% -- meaning hikes going forward likely will be minimal.Still, there's a nice bull case here. Income investors should check out Wynn Resorts (NASDAQ:WYNN) as well, which raised its dividend 33% this year and yields 2.9%. PetroChina (PTR)Source: Gil C / Shutterstock.com PetroChina (NYSE:PTR) seems like the forgotten Chinese giant. It has the second-highest market capitalization among U.S.-listed companies based in China, behind only Alibaba. Yet, it receives a fraction of the coverage of other Chinese names.Additionally, there's an attractive combination of exposure to Chinese growth and dividend income. PTR shares are cheap, at barely 13x forward earnings, but -- like LVS -- there are risks.Unlike most U.S. companies, PTR's dividend is inconsistent in terms of its size and is only paid semi-annually. The yield based on 2019 distributions is over 4% and nearing 5%, but that may not be the case in 2020 -- particularly with earnings declining of late. PetroChina needs oil prices to hold up, as well. * 7 Vaping Stocks to Get into Ahead of the Crowd Income investors looking for consistency might look instead to names like BP (NYSE:BP) or Exxon Mobil (NYSE:XOM), the latter of which clearly has seen some support thanks to its dividend. Those looking to add growth or potential upside, however, might considering swapping out those established names for the higher-upside PTR. China Mobile (CHL)Source: testing / Shutterstock.com Shares of China Mobile (NYSE:CHL) already have bounced nearly 10% since hitting an 11-year low this month. They may rally further this week thanks to the so-called "Barron's bounce". That publication called out CHL stock as a cheap, yet dominant play this weekend -- and made a strong case in the process.After all, as Barron's pointed out, China Mobile has 10 times the customers of Verizon Communications (NYSE:VZ) or AT&T (NYSE:T). And, like those U.S. giants, it has a 5G catalyst on the way. Yet, by any measure, it trades at a substantial discount to its American counterparts.With a 4.5%-plus dividend yield, there's a nice income case here as well. And, if CHL stock does rise too sharply this week, investors can also look at smaller rival China Telecom (NYSE:CHA).Obviously, both Chinese telecommunications companies need their domestic economy to cooperate. But, if it does, the gains in both stocks in recent sessions could be the prelude to substantial upside in 2020.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 2019 Losers That Will Be 2020 Winners * 7 Safe Dividend Stocks for Investors to Buy Right Now * 5 Artificial Intelligence Stocks to Consider The post 3 Dividend Stocks to Buy for China Bulls Heading into 2020 appeared first on InvestorPlace.

The U.S. Justice Department and other federal agencies on Thursday called on the Federal Communications Commission to revoke China Telecom Corp's authorization to provide international telecommunications services to and from the United States. The agencies, including Homeland Security, Defense and State-- cited "substantial and unacceptable national security and law enforcement risks associated with China Telecom’s operations." Chinese foreign ministry spokesman Zhao Lijian told reporters that the United States must stop politicizing commercial matters. (SOUNDBITE) (Mandarin) SPOKESMAN OF CHINA FOREIGN MINISTRY, ZHAO LIJIAN, SAYING:"China has noticed relevant reports, and China is firmly opposed to it. The Chinese government has always required Chinese companies to do business based on market principle and to be compliant with the law. Concurrently, we also require them to abide by the local laws and regulations. We urge the U.S. to follow market principle, stop generalizing national security, stop the mistaken action of politicalizing economic issues, stop oppressing Chinese companies with no reason. And provide a fair, just and non-discriminative environment for Chinese companies." China Telecom has rejected the allegations and said it has "been extremely cooperative and transparent with regulators."

(Bloomberg) -- One of China’s best-performing stocks so far in 2020 is a little-known server maker that last year abruptly joined the same U.S. blacklist that threatens Huawei Technologies Co.’s survival. Investors are betting that Beijing’s rapidly emerging plan to invest trillions in technology will outweigh the Trump administration’s curbs.Dawning Information Industry Co. has soared 60% since the start of the year, making it the third-best performer year to date on the benchmark CSI 300 index of Shanghai and Shenzhen stocks. It’s now trading at about 56 times its projected 2020 earnings, above its average over the past three years -- yet some analysts think its uptrend is set to continue.Dawning’s among the Chinese companies at the center of efforts by Washington to stall the rapid rise of China’s IT industry. The U.S. Commerce Department blacklisted the Beijing-based company a year ago, requiring its American suppliers to get a license from the U.S. government in order to sell their products. Also on the entity list was the company’s advanced computing processor subsidiary, which operates American chip giant Advanced Mirco Devices Inc.’s joint-venture in China.“China and the U.S. are most likely heading toward greater friction in technology,” said Wang Chen, a Shanghai-based partner with XuFunds Investment Management Co. “Companies that possess core technologies and good business models will benefit.” Dawning’s tech strength was demonstrated by its recent China Telecom procurement deal win, he added.Beijing’s plan to invest heavily in the country’s IT infrastructure to reboot its virus-stricken economy could propel Dawning’s business. The supercomputers, servers and storage equipment it makes are essential to China’s ambitious “new infrastructure” initiative that has technologies such as large-scale data centers and next-generation telecom networks at its heart.“The business potential from the company’s partnership deals with Loongson and Cambricon is not fully realized,” Wang Jianhui, an analyst at Dongxing Securities said referring to two up-and-coming state-backed chip developers. “The stock price should have more room to grow.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

(Bloomberg) -- Sign up for Next China, a weekly email on where the nation stands now and where it's going next.The deadly coronavirus outbreak, which has pushed the Chinese medical community into overdrive, has also prompted the country’s hospitals to more quickly adopt robots as medical assistants.Telepresence bots that allow remote video communication, patient health monitoring and safe delivery of medical goods are growing in number on hospital floors in urban China. They’re now acting as a safe go-between that helps curb the spread of the coronavirus.Keenon Robotics Co., a Shanghai-based company, deployed 16 robots of a model nicknamed “little peanut” to a hospital in Hangzhou after a group of Wuhan travelers to Singapore were held in quarantine. Siasun Robot and Automation Co. donated seven medical robots and 14 catering service robots to the Shenyang Red Cross to help hospitals combat the virus on Wednesday, according to a media release on the company’s website. Keenon and Siasun didn’t reply immediately to requests for comment. JD.com Inc. is testing the use of autonomous delivery robots in Wuhan, the company said in a statement. Local media has also reported robots being used in hospitals in the city as well as in Guangzhou, Jiangxi, Chengdu, Beijing, Shanghai, and Tianjin.The rapid spread of the coronavirus has left provincial hospitals straining to cope and helped accelerate the embrace of robots as one solution, turning the gadgets into medical assistants. These bots join China’s tech-heavy response to the coronavirus outbreak, which also includes airborne drones and work-from-home apps. The jury remains out on how effective these coping tactics will be.China’s rapid buildout of fifth-generation wireless networking in areas around urban hospitals has also seen a rise in 5G-powered medical robots -- equipped with cameras that allow remote video communication and patient monitoring. These are in contrast to robots like little peanut, whose primary function is to make indoor deliveries.“The technology of robots used in Chinese hospitals isn’t high, but what this virus is also highlighting -- and it could be the next stage of Chinese robots -- is the use of medical robot deployment,” said Bloomberg Intelligence analyst Nikkie Lu.China Mobile Ltd. donated one 5G robot each to both Wuhan Union Hospital and Tongji Tianyou Hospital this week, according to a report by ThePaper.cn. Riding the 5G network, these assistant bots carry a disinfectant tank on board and will be used to safely clean hospital areas along a predetermined route, reducing the risk to medical personnel.Zhejiang People’s Hospital used a 5G robot to diagnose its first coronavirus patient on Sunday, according to a report by the Hangzhou news center run by the State Council Information Office. Beijing Jishuitan Hospital performed remote surgery on a patient in Shandong province via China Telecom Corp.’s 5G network last June.While it may take patients a moment or two to get over the shock of being helped by a robot rather than a medical professional, bots have already permeated a growing number of sectors in Chinese society including nursing homes, restaurants, warehouses, banks and over 200 kindergartens.Financial services company Huachuang Securities Co. believes even more robots are in China’s immediate future. Pointing to National Bureau of Statistics data suggesting that domestic production of industrial robots increased by 15.3% in the month of December, they predict similarly fast growth in the current quarter, according to a report published by Finance Sina.The increased quantity of robots deployed to combat the coronavirus has helped accelerate China’s path to the goal it had already set for itself. The country wants to become one of the world’s top 10 most intensively automated nations by the end of this year.To contact the reporter on this story: Kari Lindberg in Hong Kong at klindberg13@bloomberg.netTo contact the editors responsible for this story: Edwin Chan at echan273@bloomberg.net, Vlad Savov, Colum MurphyFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

The U.S. Justice Department and other federal agencies on Thursday called on the Federal Communications Commission (FCC) to revoke China Telecom (Americas) Corp's authorization to provide international telecommunications services to and from the United States. China Telecom is the U.S. subsidiary of a People’s Republic of China (PRC) state-owned telecommunications company.

China Telecom Corporation Limited (HKG:728) stock is about to trade ex-dividend in 4 days time. This means that...

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The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...