Which is the fastest and cheapest internet providers available in yunnan ? Does net setters are available in china ?

Can we assume that you are talking about Kunming, or at least major cities/settlements generally, and not about mobile internet and its coverage in more remote parts of Yunnan province?

We have internet at home from China Telecom, and recently changed the plan from 8M to 50M. Mainly because we had some extra money to spend and could get a free phone for a relative with a bigger one-time payment (instead of monthly payments).

Anyway, my wife says she really can do internet shopping faster now. I have noticed no difference in speed of my foreign traffic. If anything, there has been more random breaks.

So if your major need is to access services abroad, I don't recommend investing lot on the speed.

In many cases, 4G mobile connection works good enough for us, even if we share it at home.

I have 50M as well in dali and live near the university,,, Shan shui Jian. It is fast for torrents. But the usual crap with websites. Apple TV gets all the chinese sites quickly with fast loading of youkou sohu letv etc ... Full 4G coverage around most of Dali and Erhai. Sometimes the 4G is faster during peak periods.

It also depends on the local infrastructure in your development. We live in a fairly new (6 yrs) small development, and we can't get an upgrade. The phone provider said that the local infrastructure is the limiting factor.
Also, demographics can play a part, if you live in a development where a lot of people are downloading or streaming movies.

China has a large cable TV network. Does anyone know if there are services, or plans for services, that use this network for internet?

@tigertiger
I stayed in an apartment in Wuhan where the internet came from a coax and cable modem. Slow as f***. A few years ago, so maybe a failed biz model as I haven't seen a cable modem since in my travels.

@Diego
Someone in Chengdu got a 108rmb deal from China Mobile. 700mb of 4G mobile and a 10mbs home internet. Maybe check with a China Mobile store here.

We had one person at the local China Telecom shop try to see us an upgrade to 8M last year. This year another person in the same shop told us the infrastructure in our community didn't support 8M.

I went from an old complex to a new. Couldn't get more than 4mbs at either according to Telecom. Someone in KM just paid to have a non Telecom provider run a optical line to get 20mbs, so I guess that's an alternative.