(Yicai Global) July 28 -- China's mobile communication service operator Montnets Rongxin Technology Group Co. [SHE:002123] will focus on video cloud services as its main business, Yu Wensheng, chairman of the company, said during an exchange session with investors. Montnets Rongxin also aims to make China Railway Corporation's (CRC) mobile ticketing service network - China Railway Customer Service Center, 12306.cn, one of its clients.
In explaining his company's future core business, video cloud services, Yu said Montnets Rongxin has a competitive edge in R & D investment in this field compared with other companies that treat video cloud only as an additional business.
"The company has a special team to communicate with 12306.cn, China's official online railway ticket booking service platform," he said. As 12306.cn belongs to China Railway Corporation, the business process will be different from that of other private firms. Although CRC is not our client at the moment, we will strive to make 12306.cn operator a Montnets client," said the chairman of Liaoning-based company.
When asked what competitive advantage that Montnets Rongxin has in video cloud services market, Yu said the company has a strong foundation in enterprise (B2B) solutions. It has a large number of users, and has sales networks in all parts of China.
Yu also revealed that Montnets Rongxin's next direction of acquisitions will be OTT (over-the-top content) field. OTT business refers to internet companies providing services and charging the end-user directly, skipping network operators. Apple App store is a typical OTT business service provider.