Is Apple (Nasdaq:AAPL) Ready to Date China Mobile (NYSE:CHL)?

Although not able to be confirmed yet, a newspaper report from Chengdu Chinese Commercial News said Apple (Nasdaq:AAPL) has signed a cooperation agreement China Mobile (NYSE:CHL).

"Today, the online Chinese character version of the Chengdu Chinese Commercial News reported that a "cooperation agreement" between China Mobile and Apple has been signed based on the newspaper's industry sources. The newspaper has not been able to confirm any potential agreement with either Apple or China Mobile. Recall, a recent article from the China Real Time Report (in The Wall Street Journal) indicated that ten China Mobile stores in the Beijing area were offering a SIM card-cutting service that allows for the card to fit into the iPhone 4, which requires a microSIM card slot. Today, the Chengdu Chinese Commercial News indicated that a "small card" is in production. There is also a microSIM card for the iPhone 4 highlighted on the China Mobile website. Additionally, the Guangdong China Mobile website indicates that the new microSIM card can be used for both the iPhone and iPad. Although the details are fuzzy surrounding any "cooperation agreement" between the two companies, and the number of services that can be used is unclear, we believe the key takeaway is that any potential relationship or increased cooperation between China Mobile and Apple is an incremental positive, in our view, given the number of wireless subscribers (~70% of China) at the carrier," said Ticonderoga Securities.

"China Unicom has an official agreement to sell Apple's iPhone and remains the only carrier in China that is licensed to do so....During our China trip in October, the buzz surrounding the iPhone 4 and iPad in China was much stronger than previous Apple launches. Clearly, China is catching "Apple fever,"" added the company.

Apple closed Thursday at $308.43, rising by $7.93, or 2.64 percent. Ticonderoga has a price target of $450 on Apple.