China Mobile launches Token Office as 300 models drive AI pivot

China Mobile's new Token Office consolidates more than 300 AI models under a single unit, marking a strategic pivot from traffic monetization to token-based revenue.

China Mobile Ltd. established a group-level Token Office to unify its AI and data strategy, consolidating more than 300 models on a single platform as Chinese telecom operators shift from traffic-based to token-based business models.

"The value of the cloud-network broadband industry is undergoing profound changes, shifting from traffic operations to token operations," China Telecom Corp. Chairman Ke Ruiwen said, describing the industry-wide transformation.

The Token Office, set up after the Digital Intelligence Business Unit and Computing Power Office, is led by the general manager of the Strategic Development Department and reports directly to core group leadership, according to a National Business Daily report. Its mandate spans the full pipeline of creating, transmitting and applying tokens, breaking a fragmented structure where computing, cloud, marketing and enterprise divisions operated independently. The unit will oversee the MobileClaw intelligent framework and the MoMA model platform, which aggregates more than 300 AI models, according to a separate report by C114 Communications.

China Mobile shares traded at HK$76.35 on Monday, down 1.2%, with short selling accounting for 21.4% of turnover. The reorganization shows China's largest wireless carrier by subscribers is betting its future growth on AI infrastructure monetization rather than traditional connectivity revenue, a shift that could reshape valuation metrics for the sector.

Competitive Pressure Mounts as Analysts Turn Cautious

Goldman Sachs downgraded China Telecom, China Unicom and China Tower to sell, citing that while AI token plans may lift average revenue per user, the 5G base station build-out remains weak. The downgrade highlights the pressure on Chinese telecom operators to find new growth drivers as traditional mobile and broadband revenue matures.

China Mobile Chairman Chen Zhongyue said AI is profoundly reshaping all aspects of human production and daily life, and telecom operators must reconstruct their service models and network architecture. The Token Office represents the organizational manifestation of that mandate.

Investor Impact Hinges on Token Monetization

For investors, the Token Office shows China Mobile is moving beyond its traditional role as a connectivity provider toward becoming an AI infrastructure operator. The MoMA platform's 300-plus models and the MobileClaw framework position the company to capture value from enterprise AI adoption, a market that could generate significant incremental revenue if token-based pricing gains traction. Goldman Sachs' cautious stance on the sector, however, suggests the market remains skeptical about the near-term financial impact.

China Mobile shares trade at roughly 10 times forward earnings, a discount to global telecom peers, reflecting the market's uncertainty about the company's ability to monetize AI investments. The Token Office's success in converting AI capabilities into measurable revenue will determine whether that discount narrows or persists.

This article is for informational purposes only and does not constitute investment advice.