China Mobile: the new mobile Emperor

China Mobile has become the world's biggest wireless carrier in terms of market capitalization, overtaking the struggling Vodafone. With a market capitalization of about $133bn, it overtakes Vodafone' s current $112bn figure. But it is not the only figure in which China Mobile is first. With some 280m mobile subscribers, it is far ahead to the second Vodafone with “only” 186m proportionate customers including affiliates around the world. The second differentiator is growth. China Mobile and Vodafone are on opposite trends: while China Mobile increased its revenues by 20% and its profit by 26% ($2bn - weakest profit growth in a yea.), while Vodafone reported a growth around 7% in revenues and a $16bn loss in fiscal year 2006. Vodafone shares dropped to $21 from $32 and China mobile share increased from $21 to $ 34. One thing where China Mobile is still weak is ARPU. With 270m subscribers, it generates “only” some $ 30bn in revenues, when Vodafone generates $56bn revenues with 186m users. China Mobile has a huge home market, but with far lower incomes.