The Ministry of Industry and Information Technology says the so-called "Iron Tower" firm established by China's three main state-owned telecom companies will be opened for private capital.
The Ministry says the move is meant to try to ensure the company doesn't become a monopoly.
The "Iron Tower," known officially as China Communications Facilities Services, was established last week as a joint venture to build 4G base stations.
The deal has China Mobile controlling 40-percent of the new company, while China Telecom and China Unicom currently control the rest.
Zhang Feng with the Ministry of Industry and Information Technology says "Iron Tower" will eventually open to the private sector.
"So far, there are three companies holding stocks, but I think this situation is temporary. Mixed ownership is the direction of its development. According to our knowledge, the three telecom companies are prepared for mixed ownership at the Iron Tower in terms of their establishment."
The "Iron Tower" concept marks a departure from the earlier practice of separate base stations for each telecom company.
The earlier practice has led to disputes in certain locations, as the carriers have selected the same location for some of their communications towers.
