China Telecom launches quantum encrypted phone calls on smartphones in a new 
pilot programme

With a special SIM card and app, some China Telecom smartphone users in Anhui 
province can make phone calls protected by quantum encryption

The race to develop quantum technology could both threaten traditional 
encryption and lead to new, more secure forms of cryptography

By Coco Feng in Beijing Published: 9:13am, 7 Jan, 2021
https://www.scmp.com/tech/innovation/article/3116659/china-telecom-launches-quantum-encrypted-phone-calls-smartphones

China Telecom, one of the country’s three state-owned telecoms giants, 
announced a new pilot programme allowing smartphone users to make phone calls 
protected by quantum encryption.

Some users of China Telecom, one of the country’s three state-owned telecoms 
companies, can now make quantum encrypted phone calls using a special SIM card 
and smartphone app, the company announced last week.

The move is the latest from China showcasing the country’s commitment to all 
things quantum computing, an area that, like artificial intelligence and 5G, 
has become part of the ongoing US-China tech war.

The service was launched as a pilot programme in Anhui province, where China 
Telecom said it is recruiting “friendly experience customers”.

To get the new feature, users must visit a bricks-and-mortar China Telecom shop 
to swap out the SIM card. It also requires the company’s “quantum secure call” 
app, which is currently only available for Android, according to a statement 
from China Telecom last Friday. The company did not disclose pricing for the 
new feature.

Unlike traditional encryption methods that rely solely on algorithms, quantum 
encryption is protected by laws of quantum physics. In theory, all information 
scrambled by traditional encryption algorithms can be cracked by a computer 
given enough time. Quantum cryptography is different because any attempt to 
intercept data will cause a physical change in the message, alerting the sender 
and receiver to potential eavesdropping.

For users of the new China Telecom service, starting a quantum phone call will 
generate two secret keys using quantum information technology. These are used 
to verify the caller’s identity and the call’s information, ensuring end-to-end 
encryption.

Current technology using asymmetric cryptography to verify identities is easier 
to develop than quantum encryption and is secure enough to meet current market 
demand, according to Gao Chengshi, a cryptography expert and a founding partner 
of blockchain developer Shanghai Hashvalue Information Technology.

However, superfast quantum computers that can easily break such encryption 
schemes could threaten current technologies.

“The advancement of quantum technology will break up the confidentiality of 
asymmetric cryptography,” Gao said. “When quantum computing achieves a higher 
and more practical level, quantum has to be used for encryption.”

China Telecom said the new service will first be available to users from 
certain sectors that need “absolute security” such as government, military and 
financial institutions. It will expand to civil use in the future, the company 
added

The service was developed by a joint venture formed last November by China 
Telecom and quantum telecoms firm QuantumCTek Group. Liu Guiqing, an executive 
director at China Telecom, said then that the company aims to provide quantum 
secure calls for more than 10 million mobile users within five years.

The companies also said they would roll out special phones with quantum 
encryption features, which are already being developed, according to a January 
1 report from Chinese media Jiemian, citing a company representative who did 
not provide additional details.

While quantum cryptography has been around for years, there have been practical 
limitations such as transmission distance. In recent years, China has become a 
leader in expanding the distance of data sent using quantum key distribution.

In June 2020, a team of Chinese researchers successfully simultaneously 
transmitted quantum encryption keys to two ground stations in China located 
more than 1,120km apart. China has also built the world’s first quantum 
satellite and the longest quantum communications networks for restricted 
industrial uses.

As advancements in quantum computing continue, some of the most widely used 
forms of encryption today could also be threatened. Quantum computers could 
break current encryption methods such as RSA as quickly as it takes to toast a 
piece of bread.

Last year, a team of Chinese scientists set a record with the quantum computer 
Jiuzhang that calculated in 200 seconds a problem that would have taken Chinese 
supercomputer Sunway TaihuLight, the fourth fastest in the world, 2.5 billion 
years to complete.

In the ever-evolving cat-and-mouse game of cryptography, researchers are now 
looking to advance encryption schemes that are resistant to attacks from 
quantum computers.

Other countries are also looking to take leading positions in quantum science 
and technology, with the US, European Union and Britain all publishing their 
own plans in recent years.

Companies elsewhere are also already using quantum technology in phones and 
telecommunications.

Samsung released a 5G smartphone in May last year that includes a quantum 
random number generating chipset as an extra layer of security. Britain‘s BT 
Group and Toshiba’s European unit also announced last October the deployment of 
a 6km quantum-secure network between two local research institutes.

In China, the size of the quantum telecoms market was 32.5 billion yuan (US$5 
billion) in 2019, nearly 20 per cent higher than the year before, according to 
domestic think tank Qianzhan Industry Research Institute.
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