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Motorola to Halt Handset Production in Hangzhou

National Business Daily, 3/03/09

Hangzhou Motorola Technology Co has revealed that the company's Hangzhou production base will end handset production after the first quarter of 2009, and switch to manufacturing Motorola's set-top boxes (STBs).

The Hangzhou production base is a joint venture between Hangzhou Motorola Cellular Equipment Co and Eastcom Cellular Phone Co. A public relations employee for the company stated that production plans have not yet been finalized.

Authoritative sources at Motorola Cellular Equipment and Eastcom Cellular shareholder Eastcom (600776.SH) have confirmed, however, that handset production would be halted, stating that Eastcom's 2009 production plans have been finalized. According to the sources, after handset production is ended, Eastcom will act as an OEM for Motorola's broadband and mobile Internet business divisions.

Keywords: 600776.SH Eastcom Hangzhou Motorola Technology OEM contract manufacturer mobile phone production production facility set-top box mobile phone

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