Australian incumbent carrier Telstra expects to record an impairment charge of A$138 million ($138.3 million) against the carrying value of its Octave business in China.
The decision followed a review of its Asian assets.
Octave comprises ChinaM, a supplier of consumer mobile content, and Sharp Point, which provides technical services for China Mobile’s central mobile music platform.
Telstra acquired a 67% stake in the businesses in February 2009 for A$259m.
The telco first highlighted a potential impact on the Octave business in August, following regulatory rulings that were expected to constrain the WAP market in China.
Telstra said the write-down won’t “affect guidance, which explicitly excluded asset impairments and proceeds from asset sales.”