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ZTE Wins 50% of CDMA Business Service Contracts

China Business News, 8/20/08

Equipment manufacturers yesterday revealed the results of China Telecom's (NYSE: CHA; 0728.HK) first round of bidding on CDMA contracts. The results show that in the portion of the bid reserved for business services, ZTE (0763.HK; 000063.SZ) won 50% of the bid, Alcatel-Lucent and Huawei each won 20% and the remainder was split between Fujian Fujitsu Communication Software (FFCS), Ace Achieve, Neusoft, Nokia and Motorola.

In addition, China Telecom has approved Internet and mobile communications value-added services provider Tencent (0700.HK) to act as its authorized national WAP portal, and Hurray (Nasdaq:HRAY), Tencent and 21CN.com as provincial-level WAP portals.

China Telecom's business services tenders are those that relate to value-added business services software and related products, and only account for a small portion of China Telecom's overall CDMA tenders. The main bulk of China Telecom procurement effort will be on purchasing CDMA base stations and wireless equipment. Results for these tenders have not yet been announced.

Keywords: FFCS Ace Achieve 000063.SZ 0700.HK 0728.HK 0763.HK 21CN Alcatel-Lucent bidding CDMA CHA China Telecom HRAY Huawei Hurray Motorola Neusoft Nokia procurement software Tencent WAP portal wireless ZTE

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The information contained in this newsletter is based upon sources that Marbridge Consulting believes to be reliable, and we have made every effort to translate the original articles or article excerpts as faithfully as possible. However, Marbridge Consulting makes no warranty of and assumes no legal responsibility for the accuracy of either the original source material or the English language translations.

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