Tesla China was among the first foreign companies to join the Chinese Government’s pilot program for value-added telecommunications services. 

China’s Ministry of Industry and Information Technology (MIIT)explained that the pilot program permits foreign companies, like Tesla, to fully own and operate telecom services. Under the pilot program, Tesla may fully own and operate internet data centers, internet access services, online data processing, and content distribution networks. 

According to local news outlets, the pilot program will first launch in four designated areas: Beijing, Shanghai, Hainan, and Shenzhen. Tesla’s Gigafactory is located in Shanghai. After joining the program, Tesla will have access to China’s cloud computing service and computing power service markets. 

The MIIT reported that 2,220 foreign-invested firms received their telecom business licenses in September. Besides Tesla, HSBC’s fintech subsidiary and Seimens’ digital health subsidiary have signed up for the program. 

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