China's 263 Network acquires 50% stake in iTalk Global

263 Network Communication Co Ltd, a China-based Internet and communications technology company, has purchased a 50% stake in iTalk Global Communications, a U.S. telecommunications operator, as per industry sources.

The move suggests 263 Network's intention to tap into the North American VoIP market, said a source close to the company.

Reportedly, the two sides clinched a cooperation agreement in September this year. Recently, 263 Network secured the regulatory approval on the deal.

Though the VoIP communications service is not fully available in China at the moment, the industry has a good prospect in the country. 263 Network is able to accumulate relevant industrial experience via the acquisition, sources said.

263 Network is the first Chinese electronic mail service provider specializing in providing mail service.

iTalk Global, a leading VoIP service provider in the U.S., has a wide user base in the North American Chinese VoIP market. iTalk Global is mainly engaged in provision of VoIP services in the home and Canadian markets, according to the company's profile.