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To: foundation who wrote (23871)6/18/2002 6:23:54 AM
From: foundation  Read Replies (2) | Respond to of 197032
 
No Show for TD-SCDMA in 3G Markets

People's Daily
Last updated at: (Beijing Time) Tuesday, June 18, 2002

The Nortel Networks predicts by 2005 the infrastructure based on CDMA will account for 62 percent of the telecommunication market, with CDMA2000 (Code Division Multiple Access) and WCDMA to go half-and-half. However, the Datang's TD-SCDMA was not mentioned regarding the share of market.

In the current 3G markets, the Nortel Networks dominates 25 percent of market shares, keeping close relations with operators. According to PascalDebon, CEO of the Global Nortel Networks, European operators have all purchased necessary equipment to create WCDMA network, planning to provide new services next year. In North, South America and Asia, 13 CDMA2000 networks are preparing to start operations. Even in European market, which is dominated by GSM, CDMA2000 also seizes an opportunity to build up a CDMA2000 commercial network in Romania.

Compared with CDMA2000 and WCDMA, TD-SCDMA seems to have been landed in a difficult plight and is now seeking everywhere for new partners, but until now it has failed to produce any new chip.

For TD-SCDMA, only need to ask the Datang two questions: First, when TD-SCDMA hand phones can make its debut? Secondly, when Chinese operators are going to create TD-SCDMA network?

Nowadays most operators are facing challenges due to the slump of the telecom sector. In order to cater to operators, the Nortel Network has transferred its key business to cost-cutting in 3G markets. Under such circumstances, which operator would like to choose TD-SCDMA for partnership that hasn't produced any chips, and which operator can cast aside CDMA2000 and WCDMA, which have already achieved great success in Japan and ROK?

Among China's operators, China Unicom finally made its best choice---CDMA2000 when its CDMA network was upgraded to 3G. China Mobile also shows great interest in WCDMA. It gave great support to the foreign-shared company---Yumeng Telecom, which was set up for resolving problems of WCDMA terminals.

english.peopledaily.com.cn



To: foundation who wrote (23871)6/18/2002 7:57:59 AM
From: quartersawyer  Read Replies (1) | Respond to of 197032
 
Unicom Management Shuffle, Scapegoat for CDMA?
June 17, 2002 06:20 PM

Unicom has announced a major change in senior management for its much touted "Xin Shi Kong," a wholly owned subsidiary in charge of CDMA network construction and operations.

Wang Yingpei, current chairman and president of Xin Shi Kong, will be replaced by Zhang Fan, previously Unicom's deputy chief engineer. In China, the term "engineer" is often understood as a title not a profession, for example, a chief engineer in China has the same status as vice president of a company, the person usually does not do any engineering work but a decision maker.

Unicom denies the change is related to disappointing performance of CDMA, it is "completely a company's internal consolidation between Xin Shi Kong and mobile services, and a normal personnel change," said the company in a statement, but analysts believe pressure from Hong Kong investors on CDMA's mediocre performance is one of the main reasons for the decision (Related Report).

Xin Shi Kong was formed in early 2001 when Unicom was about to launch CDMA cellphone service. Before joining the company, Wang Yingpei was president of Unicom's Yunnan branch in southwest China. There are reports that Wang's record in the far-flung province earned him credibility with Unicom's top leaders that moved him back to Beijing to become head of Xin Shi Kong.

During the last year, Wang rallied the troops for CDMA development at Unicom. He raised the objective of CDMA to cover 300 cities in three years with a total switching capacity to 50 million lines, and total investment of 70 billion yuan ($8.4 billion) in three years. During his "go-go" years, Wang repeatedly said his goal is to build "the largest and best CDMA network in the world." We now know he does not have to remember or be responsible for his words any more.

His replacement, Zhang Fan is currently president of Unicom's mobile services division. People who know about Zhang say he is a "down-to-earth" type of guy. There is not much report on Zhang's past record, but analysts say his appointment is not necessarily that he will be any better than Wang, but Unicom has to make the facelift to appease investors.

Analysts question Unicom's decision to form Xin Shi Kong and give it the decision making power on CDMA network construction. Then after the first phase of network was completed, Xin Shi Kong leased it to Unicom (HK) for about 1.5 billion yuan ($177 million) in 2002. This way, Xin Shi Kong has in effect lost its operations of CDMA network, and become more of an administration office.

Recently, Unicom announced it will launch CDMA2000 1X service by the end of year (Related Report). Analysts say launching new service too soon could put pressure on current CDMA (IS-95A) service which Unicom projects to recruit 7 million customers this year, but others believe it can only reach 3-4 million at best.
[0617MGT

chinanex.com