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Thursday, November 01, 2001, updated at 11:05(GMT+8) | ||||||||||||||
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Mobilephone Tycoons Care More About Chinese MarketThe world's mobilephone giants Motorola, Siemens and Alcatel are showing increasing interest in China's vast potential market, with the hope to expand investment and strengthen cooperation with China.C. D. Tam, vice president of Motorola Inc., says it is fortunate Motorola entered the Chinese market in 1992 as it has proven to be a "win-win decision". Of Motorola's total 3.4 billion U.S. dollars investment in China, 3 billion was injected into Tianjin, a port city which has become one of Motorola's major production bases in China. "As an investment center, Tianjin has set a good example for Motorola's other subsidiaries in the Asia-Pacific region," Tam said. Nearly 65 percent of Motorola's products, including mobilephone chips, semiconductors and energy products, are made in Tianjin, where they are exported to countries around the world, returning atotal export of 50 billion yuan (about 6 billion U.S. dollars). Last year, Motorola established China's largest semiconductor chip manufacturing base in Tianjin with a total input of 1.9 billion yuan. In the near future, Motorola will build a semiconductor and software base that aims to transform more inventions and state-of-the-art technologies into new products. As a relative newcomer to the Chinese market, Siemens already takes 14 percent of the market share. Its mobilephone sales rank the third in the country. Ernst H. Behrens, president of Siemens China Ltd., said Siemens will continue to develop its advanced technologies to provide more and better products for Chinese users. Alcatel, a French giant of telecommunication products, is heavily involved in the construction of China's telephone network, and plans to bring China into its technology base as well as into its export center in the Asia-Pacific region. Ron Spithill, president for the Asia-Pacific region, said Alcatel hopes to develop new technologies and expand the market in China together with Shanghai Bell. It has also launched an optic-fibre manufacturing base in Tianjin in north China. Despite the global recession in the industry since 1999, China's IT industry is still surging ahead at an annual rate of 30 percent. Chinese mobilephone users have exceeded 120 million, and the figure is expanding by 70 percent each year. Mobilephones have immense market potential in China, observers say.
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