LG Reviews Plans To Supply 3G Phones To DoCoMo

SEOUL -(Dow Jones)- LG Electronics Inc. (066570.SE), the world's fifth-largest mobile handset maker, is reviewing plans to supply third-generation handsets to Japan's NTT DoCoMo Inc. (DCM), a spokesman at the South Korean company said Wednesday.

"At NTT DoCoMo's request, we have been reviewing plans to supply 3G phones. But nothing has been decided," said LG Electronics spokesman Lee Hyoung-Kun.

Last year, LG Electronics was able to garner more market share in the competitive market and raise its profit margins by securing a contract with Hong Kong's Hutchison Whampoa Ltd. (0013.HK) to supply 3G phones.

Typically, 3G handsets fetch higher average selling prices due to more data-intensive features and applications.

NTT DoCoMo has also approached Samsung Electronics Co. (005930.SE) to supply 3G handsets to the Japanese company, according to a Samsung spokeswoman, but the South Korean company turned down the offer.

A spokesman at NTT DoCoMo in Japan said the firm had no immediate comment.

NTT DoCoMo is Japan's largest cellular service provider with about 49 million subscribers at the end of December 2004.

-By Yun-Hee Kim, Dow Jones Newswires; 822-732-2165; yun-hee.kim@dowjones.com

-Edited by Sharon Vong

(END) Dow Jones Newswires "

Posted to the site on 19th January 2005