More on China....China United to Buy 170,000 CDMA Phones for 619 Million Yuan
2002-05-12 19:28 (New York)
China United to Buy 170,000 CDMA Phones for 619 Million Yuan
Hong Kong, May 13 (Bloomberg) -- China United
Telecommunications Corp., the nation's second-biggest mobile phone
company, will spend as much as 619 million yuan ($75 million) to
buy 170,000 mobile phones for a new wireless network to encourage
handset manufacturers to boost production.
China United will buy the code division multiple access
(CDMA) phones within next seven months through Unicom Guomai
Communications Co., a paging company 59 percent owned by Hong Kong-
listed subsidiary China Unicom Ltd.
In March China, United said it would buy 500,000 CDMA
handsets through Unicom Guomai, addressing phone makers' concerns
that China United is adding subscribers too slowly to justify
production. China Unicom, which leases the network in 12
provinces, added 120,000 new users in March, although total users
stand at only 12 percent of the company's 4.7 million year-end
target.
In a statement, China Unicom said ``a greater commitment from
CDMA handset suppliers can be secured and a greater discount can
be obtained by Guomai from suppliers.'' It didn't say how many
phones the listed company will buy.
China last year licensed 19 companies to make CDMA phones in
the country. All except Motorola Inc., the world's second-biggest
mobile phone maker, are local companies, some of which have formed
ventures with foreign partners like Samsung Electronics Co.
--Kenneth Wong in the Hong Kong newsroom (852) 2977 6644 or at
kwong@bloomberg.net. Editor: Hill |
