Chinese telecom carriers turn AI tokens into mobile-style plans in race for users

Chinese telecom operators are packaging artificial intelligence usage into subscription plans, turning "tokens" — the basic unit consumed by large AI models — into the industry's newest billing metric as carriers race to monetize the country's AI boom.

China Telecom launched on Sunday a series of trial token-based plans aimed at developers, small businesses, households and individual users, offering tiered token plans bundled with optional broadband upload speed boosts and cybersecurity services.

Pricing ranges from 39.9 yuan ($5.5) per month for the basic package to 299.9 yuan for the flagship version, with monthly token allowances ranging from 15 million to 250 million. China Telecom said the plans are designed to provide low-latency token services for AI-intensive applications.

The move came just two days after Shanghai Telecom became one of the first carriers in China to formally roll out token-based operations, handing subscribers free quotas worth 25 million tokens.

The plans mark a shift in how China's telecom sector hopes to profit from generative AI, as operators attempt to transform computing power and AI model access into a utility-like service resembling traditional mobile data packages.

In parallel, China Mobile in Shanghai launched a universal token service for consumer and office scenarios, allowing users to access different AI platforms under a single account and pay through phone bills.

The carrier also partnered with Tencent Holdings to introduce an AI-native workspace platform targeting consumers and small businesses. The service offers 400,000 tokens for 1 yuan, with users able to switch between AI models under a unified pricing structure.