Asia's largest bank consortium JETCO, Joint Electronic Teller Service Lt., and leadingelectronic-commerce solutions provider iMerchants on January 25 signed a contract on the formation of JETCO On-line Services to provide integrated on-line financial services, on-line payments and e-commerce services to over 80 percent of banking customers in Hong Kong and Macao.

The new joint venture will allow "local and international banks in Hong Kong and Macao to offer innovative new services to customers over the Internet, creating convenience and increased efficiency while facilitating rapid growth of e-commerce in the region," Chairman of JETCO Chung Che Shum said at a contract signing ceremony.

The tie-up between JETCO and iMerchants is the latest in a series of Internet and e-commerce deals across Asia and the Pacific which analysts said marked only the first steps of the region's journey down the information superhighway.

Four of Hong Kong's biggest companies also teamed up in an Internet joint venture as activities in Hong Kong's information technology sector picks up an even more frantic pace.

Li Ka-shing's flagship Cheung Kong (Holdings) Ltd. and unit Hutchison Whampoa Ltd. on Sunday agreed to invest up to three billion Hong Kong dollars (390 million US dollars) to form an E-commerce joint venture with Hong Kong and Shanghai Banking Corp.(HSBC) and Hang Seng Bank.

Dubbed iBusinessCorporation.com, the joint venture aims to be the dominant service provider and business facilitator by making use of the existing resources, networks and customer bases of the two banks and two companies, Cheung Kong said in its statement.

Citibank announced recently that it will partner with kerry Properties to develop e-commerce. American Express co. inc. said it is considering launching on-line banking services in Hong Kong,and discussing with big companies the feasibility of developing e-commerce.

In another alliance announced Monday, Kerry Logistics, a wholly-owned subsidiary of Kerry Properties Ltd., said it would join forces with Hang Seng Bank in the business-to-customer markets, offering e-shopping among other things.

Their on-line customers will be able to use Hang Seng's secure Net payment solution and e-shopping Mastercard, which was launched by the bank last week with a credit limit of 3,000 HK dollars (384.6 US dollars), for making payment.

Another property firm, Sun Hung Kai and Co., said its subsidiary Sun Hung Kai Securities would team up with technology firm New Era of Networks Ltd. with the ambitious goal of revolutionizing stock trading in Hong Kong.

It has become a trend for big companies from different sectors to join forces in launching e-commerce, said Alex Tang, research director at Core Pacific-Yamaichi International. "Otherwise, you will be left behind," he said.

Tang believed that many blue-chip firms could no longer count on their core business with the restructuring in Hong Kong's economy and government's emphasis on developing high-tech and e-commerce businesses.

The recent Internet and e-commerce deals represent "the trend of the new century," as large companies see e-commerce joint ventures as a fast way to boost competitiveness, said Kitty Chan, fund manager with APC Investment and Management service.

Many analysts consider big companies' marriage with technology firms beneficial since it can sharpen their competitive edge in the information age, thus helping strengthen Hong Kong's position as an international business, cargo and financial hub.

However, they warned that small and medium-sized companies should prepare themselves for the e-commerce wave, saying they may disappear in face of increased market competition.