Local media reports that China Telecom (CHA) will soon cancel its Northern Business Department and the company is currently working on re-arranging the personnel of the department.

Enet.com.cn reports that China Telecom previously dissolved its Internet Business Department due to an unclear profit pattern of the department. A senior manager from China Telecom has confirmed that China Telecom is making an internal adjustment and transferring the personnel of the Internet Business Department to the newly established Family Clients Department and Large Clients Department.

Ye Lisheng, general manager of the former Internet Business Department of China Telecom, is said to have been transferred to work as deputy general manager of China Telecom's Marketing Department, while others who are not on the formal list of the company's human resource department may be fired.

China Telecom will also set up an Individual Business Department in the future to mainly serve wireless and 3G consumers.