Chunghwa Telecom Unveils Five-Year Roadmap

Taipei, July 27, 2010 (CENS)--Chunghwa Telecom Co., Ltd., currently Taiwan's No.1 telecom carrier, recently unveiled a five-year operation roadmap containing several ambitious goals.

The firm projects sales revenue to grow at net rate of NT$25 billion (US$781 million) in five years after rebounding to NT$200 billion (US$6.25 billion) in 2011, plans investments in cloud computing operation at NT$40 billion (US$1.2 billion) in five years and puts up NT$32 billion (US$1 billion) worth of procurement contracts for bids each of the five years.

The company has designated value-added mobile-phone services as a major momentum behind the revenue growth, with sales from the services projected to rise to NT$28 billion (US$875 million) or so in five years from estimated NT$10.1 billion (US$315 million) for this year. Revenues from reinvestments at home and overseas will also contribute to the growth.

Over the next five years, the company's investments will focus on cloud computing, digital convergence, intelligent energy network, information-communication technology, movie-on-demand (MOD) service, value-added mobile service, and reinvested businesses at home and overseas.

Many of the investment projects are associated with the bright future of related markets in mainland China, where the central government has worked out development projects for intelligent energy network and digital convergence industries.

Chunghwa's intelligent energy network and digital convergence projects are expected to benefit many of the island's equipment suppliers including Quanta Computer, Hon Hai Precision Industry, Wistron, and Gemtek Technology.

Industry executives estimated the company to make NT$5 per share on projected revenue of NT$184.5 billion (US$5.7 billion) throughout this year. The company earned NT$2.5 per share in the first half of this year.