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China keeps VoIP Illegal

From China Tech News:

China's Ministry of Information Industry (MII) reiterated that it still has not formulated guidelines concerning VoIP businesses and that many current VoIP businesses could potentially be illegal.

Companies like Netease (NTES), Tom Online (TOMO), Skype, and Tencent have all started VoIP services in China. And the 263 Group and HL95 have also recently entered the sector.

The VoIP sector offers great financial rewards for companies because voice communications on the network can be as much as ten times cheaper than traditional fixed-line phones.

MII says that it is still testing VoIP and forbids illegal "phone cafes" from opening in China. It also offered no clear date on when it will issue guidelines for businesses to operate legally.

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Comments

What I do not understand is exactly WHY VoIP is illegal still in China. Could it be censorship such as what happened with Google China?

My two cents. Thanks for article.

If illegal, why Skype can work in China?

They want VoIP illegal because they are just in the moment of builduing the friggin infrastructure, and they won't be able to collect the money they spent like all the other countries could back when there was no internet.

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