To: JohnG who wrote (97179 ) 4/9/2001 2:34:27 PM From: JohnG Read Replies (2) | Respond to of 152472 Samsung, LG Win Chinese CDMA Auction Samsung and LG Electronics, the nation's two largest mobile phone makers, were selected as first-phase prospective equipment vendors for China Unicom's CDMA (code division multiple access) auction, the two companies said yesterday. China Unicom, the number two mobile phone carrier in China, also unveiled details of the project to international and domestic network providers who were invited to bid on the project, they said. Samsung Electronics said its consortium partner, Shanghai Bell, was selected to participate in the CDMA auction. Last November those two companies closed a deal on comprehensive cooperation in developing next- generation mobile technology based on Qualcomm's CDMA standard. Major goals in this joint project are to start commercial production in China of base-station transceivers and wireless network controllers for mobile communications systems. LG Electronics also said its partner Shoushin Telecom took a qualification for the auction. The Mainland government has set guidelines that limit international vendors' participation in the auction, forcing them to form consortia with local companies. This in an attempt to protect the country's telecommunications industry, the two companies said. China Unicom is scheduled to select the final winners in mid-April. It plans to expand its CDMA network with the aim of accepting 20 million subscribers by the end of 2003. Meanwhile the number of mobile phone users in China has reached about 80 million, with an annual growth rate of more than 50 percent. Of all subscribers only 4 percent of them currently use CDMA-mode cellular phones. Industry observers predict that the number of CDMA subscribers will reach 60 million and the equipment market will grow to $5.3 billion by the end of 2004. kdh@koreatimes.co.kr