With the maturity of the China’s telecom market, the telecommunications industry is facing a problem how to turn “product-information-centric” to “customer-centric”. Data mining can find out the potential and valuable knowledge from large amounts of data. The paper extracts the related data from the database as a basis for analysis. It uses the Discriminant Analysis of SPSS data mining for telecommunications and establishes model to analyze and forecast and do customer classification and prediction in the telecommunications industry. Customer classification makes the telecom merchant to draw up more targeted marketing decisions and brings more benefit.