The Ministry of Industry and Information Technology (MIIT) issued a draft proposal on January 7 which would allow qualified companies to resell mobile network services purchased from China's three telecoms operators directly to customers.
The plan has already been held up as a major step toward breaking up the country's monopolized telecoms sector, but really it will achieve little unless the government can erase the line separating State-owned companies from private enterprises.
In the past, the government has nominally allowed the private sector to enter industries dominated by State-backed titans. Take, for example, the aviation industry. Most private airline companies are struggling to tread water against their State-owned rivals, which are entitled to generous government subsidies and the best air routes.
If the government is serious about giving entrepreneurs and private capital a fair shake, it should level the playing field so that all sides can compete on even footing.
The author is Tan Haojun, an economic commentator.
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