Two New Phones From Chinese Vendor

China's Qiao Xing Universal Telephone says that its subsidiary CEC Telecom, one of the fastest-growing mobile phone manufacturers in the China market, has recently launched multi-media handset models A100 and A800. Each model is embedded with a two-million-pixel digital camera, a PDA and an MP3 player, and supports MPEG-4 Video playing.

Mr. Wu Zhi Yang, CEO of CECT, said ''Industry commentators predict that a significant proportion of mobile phone handset sales in China in 2006 will be in the multi-media category. So far, only a small number of handset manufacturers have launched such multi-media handsets in the China market and we are proud to be one of them. We enjoy a significant selling price advantage over our competitors as the retail price of our models is at least RMB1,000 (US$120) lower than theirs. That we are able to do this while making reasonable gross profit is in no small part due to our efficient supply chain management system, which for the last one and a half years has benefited from a series of rationalization programs. For the marketing of these multi-media handsets, CECT can draw on its experience in the hugely successful promotion of mini PDA handsets that have been the hottest items among all brands of PDA mobile phone produced by local companies. We are confident that CECT will be able to sell altogether at least 400,000 units of A100, A800 and other multi- media mobile phone handset models to be launched in the second half of 2005.

''With a deep understanding of the needs and wants of customers in different market segments, CECT has acquired the knack of introducing trendy, desirable and price-competitive handset models at the right time. This has helped CECT continuously gain market share. Since the second half of 2004, CECT has been one of the fastest-growing mobile phone handset players in the China market.

''CECT is currently ranked sixth among local players in terms of market share. We are getting very close to our previously announced target of fifth place in the China mobile phone handset market. In financial terms, we expect CECT's net income for 2005 to reach US$19 million, up 30% from 2004."

Posted to the site on 5th August 2005