CHINA TELECOM Corporation is an extra-large telecom enterprise formed according to the state telecom structural reform scheme. It was officially established in May 2002 after the split of the former CHINA TELECOM into two groups: CHINA TELECOM (south) and CHINA NETCOM (north). The corporation has 21 provincial (municipal and autonomous regional) corporations, holding 70% of the national trunk-line transmission network assets owned by the former CHINA TELECOM. In addition, CHINA TELEOCM has another 10 branch corporations controlled by its Northern Telecom Department, which are located in the 10 provincial regions controlled by CHINA NETCOM. CHINA TELECOM is allowed to build and operate local telephone networks therein through these ten branches. Subordinated to the central government, the new CHINA TELECOM has a 158 billion yuan (RMB) registered capital. Currently, CHINA TELECOM: operates domestic and international fixed-line networks, including wireless loops; provides fixed-line voice, data, video, multimedia and information services; is engaged in international telecom accounts settlement and overseas market exploration; offers ICT related services like system integration, technology development, technological consultation, advertising, publishing, equipment manufacturing, sales, import and export as well as design and installation; and operates other services approved or allowed by the central government according to market demands. CHINA TELECOM will retain the goodwill and intangible assets of "CHINA TELECOM". The relationship of CHINA TELECOM and its 21 provincial corporation and 10 branches is reinforced by assets ownership, networks and services.

Since its establishment, CHINA TELECOM has changed its ownership structure with its Shanghai, Jiangsu, Zhejiang and Guangdong provincial corporations. On 10 September 2002, CHINA TELECOM Corporation Limited was founded, on 14 and 15 November 2002 respectively the corporation completed listing its shares at New York and Hong Kong stock exchanges for initial public offering.