China Telecom, the state-run carrier has reportedly set up two internal innovation incubators in Beijing and Shanghai.
The company plans to invest RMB 200m ($30m) for start-ups to be incubated by China Telecom for two years with between RMB50,000 and RMB100,000 each.
Earlier this month, the world’s largest fixed-line call carrier co-hosted a Mobile Internet Apps Creative Competition with messaging company Tencent and phone maker Motorola.
Yang Xiaowei, deputy general manager of China Telecom, said in a keynote speech during the conference the company was to attach more importance to mobile internet.
By November, China Telecom had more than 125 million subscribers under its e-surfing (Tianyi) mobile phone brand.