AsiaInfo-Linkage helps keep the information flowing throughout China. Through operational subsidiary AsiaInfo-Linkage Technologies, the company provides software and services used by telecommunications carriers for such functions as activating services, billing, and customer relationship management. It also provides secure networking software and services, particularly for virtual private networks and firewalls, through its Lenovo-AsiaInfo subsidiary. The company's top customers are the country's leading telecom service providers China Mobile (60% of sales), China Unicom (18%), and China Telecom. AsiaInfo-Linkage is being acquired by an investor consortium led by CITIC Capital Partners for about $900 million.
AsiaInfo bought Linkage Technologies International in mid-2010 for about $733 million in cash and stock. The combination created one of the largest software companies in China. It serves China's telecom industry with software development and IT services. Shareholders of AsiaInfo own around 64% of the merged company.
The company also bought 80% of software and IT services provider Hangzhou Zhongbo in a move to boost its profile with cable network operators in China. Hangzhou Zhongbo counts Jiangsu Cable Company, the world's second largest cable company by subscribers, among its customers.
Also in 2009 AsiaInfo announced a joint venture with Singapore-based telecommunications services provider Alpha Growth International in a bid to boost its presence in Southeast Asia. Also that year the company, through subsidiary Bonson Information Technology, acquired a controlling interest in SmartCall (outbound call center services for telecommunications carriers in China) for about $2 million. AsiaInfo cited growing demand for improved customer relations and related services from telecom service providers, especially in the areas of data collection and analysis, marketing, and consultation, as the reason for the purchase.
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