Released on = March 23, 2007, 2:15 am

Press Release Author = Shushmul Maheshwari

Industry = Telecommunications

Press Release Summary = The sales of mobile phone handsets are surging in China.
Growing subscriber base and willingness to upgrade to newer models is propelling the
mobile sales.

Press Release Body = Mobile phone sales in China grew by 40% YOY to 120 million
units in the year 2006, reported on February 4, 2007 by Xinhua, quoting Xie Linzhen,
Deputy Chief, China Mobile Communications Association (CMCA).

China manufactured around 450 million mobile handsets in 2006 out of which it
exported 350 million handsets, Xinhua quoted Xie Linzhen saying.

The Ministry of Information informs that overseas mobile phone titans including
Motorola and Nokia hold the major share of the Chinese market while domestic
manufacturers had to satisfy with sales of only 50 million handsets on both domestic
and foreign lands.

Xie stated that booming global economy that allowed people to upgrade their existing
phones to smarter models more often was the reason behind the leap mobile handset
sales took in 2006.

The subscriber base in China increased by 25%, or 68 million in 2006.

Chinese mobile uses, on an average, purchase new cell phones in every 21 months. The
CMCA predicts another 25% hike in mobile sales to around 150 million units in 2007.

RNCOS report "China Telecom Sector Analysis (2006-2007)" opines that by 2010, the
total mobile phone market in China will become a $12.7 Billion sector, a rise of
25.4% from the year 2005. Also, mobile subscriber base in China will grow to around
640 million by 2010 from the 446.59 million expected subscribers in 2006.

The market research report also talks about the position of China mobile market in
respect to Asian market, the parameters that define the market, like services,
technology, service providers/vendors, emerging technologies, the market driving
forces, opportunities, and challenges. The report gives a keen insight into the
strategic and future outlook of the market. The regulatory environment in China has
also been discussed for investors.

About RNCOS:

RNCOS, incorporated in the year 2002, is an industry research firm. It has a team of
industry experts who analyze data collected from credible sources. They provide
industry insights and analysis that helps corporations to take timely and accurate
business decision in today\'s globally competitive environment.

For more information visit: http://www.rncos.com/Report/IM065.htm
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