Perth-based ISP and telecommunications firm Global Company has announced it is in the final stages of negotiations to establish a joint venture with Shanghai Telecom, a subsidiary of China Telecom.
Under terms of the deal, Global Company subsidiary Global Dial will spend about $1 million to set up one of the first IP networks in China.
Global Company's managing director, Patrick Ng, explained that the company is also on the look out for opportunities to further expand into Asia via international partnerships.
Global Dial is also currently seeking local channel partners to sell packages which include telephone and a range of Web-associated services.
"We are on the look out for channel players at the same time that we are moving into Asia. We are developing new products such as click and talk' which we hope to launch later this year," Ng explained.
Formed in August 1999, Global Dial uses voice over Internet protocol (VoIP) technology, which allows voice conversations to be held over the Internet. It hopes to undercut current international and national long-distance telephony rates with these services.
In a statement relating to the announcement, Global Dial said it hopes to add to its 20,000 strong Western Australian customer base by signing up a further 80,000 subscribers on the eastern seaboard.
The second-tier telco will roll out its discount VoIP technologies to sales branches in Sydney, Melbourne, Brisbane and Adelaide.
Global Dial will target the east coast's 20-to-30-year-old multicultural and international student demographic, the highest users of IP and VoIP telephone at home and at work, according to Ng.
The company plans to run a multilingual VoIP call centre in Perth to service its growing international user base.
"Perth is the ideal place for our headquarters, it is close to the Asian region we are moving into and it is cost effective compared to Sydney and other major capitals," Ng said.