Tag Archives: iPhone

4G, Apple Deal Near With New Smartphone Approval

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Latest signs point to imminent 4G licenses

Local media are buzzing with word that China’s telecoms regulator has just approved 4 smartphones for use on the nation’s upcoming 4G networks, implying the long-awaited issue of 4G licenses could be imminent. But equally interesting is a separate report that says the number of newly approved phones is actually 5, and that the fifth phone was a version of Apple’s (Nasdaq: AAPL) new iPhone 5S that can operate on networks using a homegrown Chinese technology called TD. That report says Apple requested its iPhone approval be kept secret; but if true, it means we could soon see announcement of a long-awaited tie-up between the US tech giant and leading Chinese mobile carrier China Mobile (HKEx: 941; NYSE: CHL). Read Full Post…

China Lands On iPhone Global Launch Map

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China to join global iPhone launch

China will reach an important milestone in the week ahead when it becomes included for the first time in the global launch for Apple’s (Nasdaq: AAPL) newest smartphone, the iPhone 5S. The move reflects the growing importance of China to Apple, which now counts the market as its second largest. China’s inclusion in the global launch also reflects an effort by Apple to try and win back local consumers, many of whom have recently abandoned the US tech giant due to long waits to get the latest iPhones and a series of negative media reports. Read Full Post…

China Joins iPhone Launch, Xiaomi Tries Tablets

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China joins iPhone launch map

I’m giving kudos today to China Telecom (HKEx: 728; NYSE: CHA) for finally doing what no other company has ever done before: getting China included in the upcoming global launch for Apple’s (Nasdaq: AAPL) newest iPhone. Meantime, China’s homegrown Apple wannabe Xiaomi is taking another page from its role model, with media reporting the fast-rising smartphone maker is preparing to launch its first tablet PC right around the same time of the global iPhone debut. Read Full Post…

News Digest: September 5, 2013

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The following press releases and media reports about Chinese companies were carried on September 5. To view a full article or story, click on the link next to the headline.
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  • HK Stock Exchange Rejects Alibaba IPO Rule Exception – Source (English article)
  • China Telecom (HKEx: 728) Reaches Apple Deal To Offer New iPhone – Source (Chinese article)
  • Xiaomi To Unveil New 7-Inch Tablet, Says Paper (English article)
  • LightInTheBox (NYSE: LITB) Expands into Southeast Asia Market (Businesswire)
  • Spreadtrum (Nasdaq: SPRD) Shareholders OK Acquisition by Tsinghua Unigroup (PRNewswire)

News Digest: August 21, 2013

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The following press releases and media reports about Chinese companies were carried on August 21. To view a full article or story, click on the link next to the headline.
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  • China Mobile (HKEx: 941) On Cusp Of Deal To Sell iPhone By Year End (Chinese article)
  • Alibaba In Talks With HKEx On Ownership Structure Ahead Of IPO-Sources (English article)
  • ZTE (HKEx: 763) To Reorganize Handset Business (English article)
  • Trina Solar (NYSE: TSL) Announces Q2 Results (PRNewswire)
  • Qihoo 360, Sogou Search Traffic Share Up 1 Percentage Pt In July (English article)
  • Latest calendar for Q2 earnings reports (Earnings calendar)

China Mobile Gets 4G Edge, iPhone Coming?

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China Mobile gets 4G boost

The latest reports on Beijing’s plans to issue 4G mobile licenses look like good news for China Mobile (HKEx: 941; NYSE: CHL), which could lay the groundwork for China’s largest telco to reach a highly anticipated deal to finally offer an Apple (Nasdaq: AAPL) iPhone for its network. But the news isn’t completely positive for China Mobile, as the latest reports also strongly imply that the nation’s other 2 carriers will both be allowed to develop 4G networks using mature, globally developed technologies. By comparison, China Mobile has been forced to build its 4G network using a problem-plagued homegrown Chinese technology called TD-LTE, and had been lobbying hard for the regulator to require one of its rivals to use that standard also. Read Full Post…

China Telecom iPhone Debut Looks Strong 中国电信iPhone初次发售，势头强劲

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China Telecom’s (HKEx: 728; NYSE: CHA) newly launched iPhone 4S has been hogging the headlines these last few days, with everyone scrambling to figure out if the debut of the popular smartphones by China’s third largest telco will be a success. The slew of media reports accompanying China Telecom’s iPhone launch on Friday, when it began taking orders for the 4S, seem to point to a modestly successful beginning. The company has offered a number of plans, each of which is priced about 100 yuan less than comparable ones offered by rival China Unicom (HKEx: 762; NYSE: CHU), the only other Chinese carrier with an Apple (Nasdaq: AAPL) tie-up which began selling the 4S in January. (English article) As to actual demand, media are looking at a number of angles, including online sales, store orders and comments from China Telecom itself to judge demand, as the iPhones themselves won’t become available until this Friday. The company itself is saying first-day sales exceeded its own expectations, though it isn’t giving any figures except to say orders in Beijing exceeded 10,000 units. (Chinese article) Meantime, another article is quoting China Telecom saying first-day online orders were strong, but there was no unusual activity at a China Telecom store also taking orders. On the whole, this looks like a relatively strong launch for China Telecom, which shouldn’t come as a surprise as many iPhone lovers are probably excited to finally have an alternative to Unicom, which had a monopoly on official iPhone sales in China since Apple launched the popular smartphones in 2007. I would expect China Telecom iPhones to see brisk sales when they officially become available on Friday, as consumers test the China Telecom service against Unicom’s. Word of mouth will be critical going forward, as I could easily see many iPhone users migrating to one service or the other in the months and years ahead depending on which telco gets the better reputation for iPhone service. Based on my limited knowledge, I wouldn’t be surprised to see China Telecom emerge as the early leader in the comparisons, in what would obviously be a major setback for an already-struggling Unicom. Meantime, China Mobile (HKEx: 941; NYSE: CHL), China’s only telco with no iPhone deal, is coming out with its own iPhone statistics, with Chairman Wang Jianzhou saying it has 15 million iPhone users. (Chinese article) Of course everyone knows that all of those users are unofficial, since China Mobile has no agreement with Apple, and all can only use their iPhones on China Mobile’s slower 2G network, since no iPhone is available to run on the homegrown technology in its 3G network. China Mobile at one point was talking to Apple about developing a 3G iPhone for its network, but those talks seem to have died a few months ago, meaning the company won’t have its own iPhone deal until 4G which is still at least 1 to 2 years off.

Bottom line: China Telecom is likely to emerge the victor in a looming iPhone war with Unicom by offering both better prices and service.

Related postings 相关文章:

◙ Price War Brewing for iPhone in China iPhone价格战料在中国打响

◙ New Developments, Including iPhone Deal, Heat Up 3G, 4G 中国电信iPhone销售和日益升温的3G、4G最新进展

◙ China Mobile: Improvement Ahead Under New Leaders 新领导有望助中国移动复苏

Price War Brewing for iPhone in China iPhone价格战料在中国打响

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I’ll end my postings for this first day of March on a lighter note, looking at an entertaining marketing and price war that looks set to break out between China’s second and third biggest telcos, China Unicom (HKEx: 762; NYSE: CHU) and China Telecom (HKEx: 728; NYSE: CHA), as the latter prepares to start selling the iPhone 4S later this month, breaking Unicom’s monopoly on iPhone sales in China since Apple (Nasdaq: AAPL) started selling the popular smartphones in 2007. In a highly anticipated announcement, China Telecom, the smallest of China’s 3 major telcos, said last month it would start taking orders for the iPhone 4S on March 2, and start selling the model for use on its network on March 9. (previous post) That development broke Unicom’s 3-year monopoly on iPhone sales in China, just a couple of months after Unicom itself started selling the 4S. Unicom has been rather lazy during the last 3 years during its monopoly period, failing to aggressively market the iPhone even as sales of the smartphones were one of its few bright spots as it suffered with internal management and operational issues. Now that the honeymoon period is finally finished, Chinese media are reporting that Unicom’s Guangdong unit is preparing a “stealth” attack to try to draw more iPhone buyers to its service even as China Telecom gets set to offer its own aggressive packages. (Chinese article) According to the report from a local publication in southern Guangdong province, Unicom’s Guangdong subsidiary is preparing to offer new incentives in the form of extra memory to new iPhone subscribers who are referred by Unicom’s current iPhone customers. I would expect to see similar moves from Unicom subsidiaries in other provinces in the next few weeks, as they attempt to stop China Telecom from stealing both new and existing iPhone customers. China Telecom is likely to fight back with its own aggressive new packages and other incentives, meaning the next few months could be a very good time for anyone considering an iPhone 4S to sign up for service. On a more serious note, this kind of war could undermine both the top and bottom lines for Unicom and China Telecom. It could also seriously hamper efforts by China Mobile (HKEx: 941; NYSE: CHL), the country’s leading mobile carrier, to bring some momentum to its own laggard 3G network, which suffers from a technological disadvantage as it is based on a homegrown Chinese technology standard with numerous problems. In summary, look for a colorful and also bruising price and marketing war between Unicom and China Telecom in the months ahead, playing to the advantage of 3G cellphone subscribers but bringing a new round of potentially destructive competition to the the telcos.

Bottom line: A new price and marketing war will break out as China Telecom prepares to end Unicom’s monopoly on the iPhone in China, resulting in profit erosion for both.

Related postings 相关文章:

◙ New Developments, Including iPhone Deal, Heat Up 3G, 4G 中国电信iPhone销售和日益升温的3G、4G最新进展

◙ China Telecom 3G Drive Set For Boost With iPhone 4S 中国电信3G推出电信版iPhone 4S

◙ China Telcos In New Drives at Home, Abroad 中国三大电信运营商海内外发力

China Takes a Bite From Apple 中国作者咬苹果一口

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Apple is fast discovering that China may be a land of huge potential, but that it will also come with its own set of challenges, as evidenced by several new developments with both positive and negative overtones. In the former category, the company is close to a deal to offer its latest iPhone 4S via China Telecom (HKEx: 728; NYSE: CHA), China’s third largest carrier, which would follow close on the heels of a similar deal with China Unicom (HKEx: 762; NYSE: CHU), the second largest carrier which will begin selling the iPhone 4S on Friday. (Chinese article) On the negative front, meantime, a group of local writers are preparing to sue Apple for copyright infringement related to the unauthorized use of their material for some apps from Apple’s iPhone store. (Chinese article) Let’s look at the positive news first, which has Chinese media reporting trials have successfully concluded for a version of the iPhone 4S that will work on China Telecom’s 3G network that uses a technology called CDMA EVDO. That deal would mark the latest China inroad for Apple, which could find a better Chinese partner in China Telecom, which is more aggressive and better organized than Unicom, Apple’s oldest China partner. At the same time Chinese media are also reporting that China’s biggest carrier, China Mobile (HKEx: 941; NYSE: CHL), may also be close to an iPhone deal for its 3G network. (Chinese article) But the reports only cite market talk, and such chatter has become so common that I wouldn’t put too much credibility behind this latest rumor. Meantime, Chinese media are also reporting about a looming copyright lawsuit against Apple from a group of 9 Chinese authors, who will seek damages of around 12 million yuan, or about $2 million. This kind of lawsuit is insignificant from to Apple from a financial perspective, even if it loses. But similar lawsuits against big names like Baidu (Nasdaq: BIDU) have brought widespread negative publicity, which could ultimately hurt Apple’s image in China and therefore undermine sales. This  lawsuit comes just a month after another legal setback for Apple in China, in this case after a Chinese court ruled another company owned the rights to the iPad name despite objections from Apple. (previous post) Stay tuned for more clashes like these as China becomes an increasingly important market for Apple.

Bottom line: An imminent iPhone 4S deal with China Telecom marks the latest Chinese advance for Apple, while a copyright lawsuit against it is the latest in a growing series of challenges.

Related postings 相关文章:

◙ Apple Suffers Setback in China Lawsuit Loss 苹果在华商标侵权案初尝苦果

◙ Unicom, China Telecom in iPhone 4S Race 中国电信有望领先推出iPhone 4S

◙ Apple Prepares to Take on China Pirates 苹果开始接受人民币付款购买应用软件

Unicom’s Sputtering 3G: Blame It On the Handsets 联通幡然醒悟 借低价手机扩张3G市场

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Despite receiving numerous advantages from Beijing in China’s fledgling 3G market, China Unicom (HKEx: 762; HKEx: CHU) has shown disappointingly slow progress in boosting its share in the space and now we may know why: a shortage of low-cost handsets. That’s what domestic media are reporting, with Unicom preparing to buy up to 8 million smartphones costing under 1,000 yuan, or about $150 each, in a bid to boost its share in the market. (Chinese article) A quick look at the numbers shows that Unicom has made little or no progress in terms of boosting its 3G market share in the last 4 months. It owned 30 percent of the market in April, compared to 45 percent for the nation’s dominant carrier China Mobile (HKEx: 941; NYSE: CHL) and 25 percent for China Telecom (HKEx: 728; NYSE: CHA). (previous post) Fast forward to August, when Unicom’s share remained stuck at 30 percent, while China Mobile’s dropped 2 percentage points to 43 percent, all of which was picked up by China Telecom, whose share rose to 27 percent. (English article) In my view, blaming its lack of progress on lack of low-cost handsets is a lame excuse. Unicom’s 3G network is technically superior to both of its rivals’, supported by a much wider array of handsets than those available to 3G subscribers of China Mobile or China Telecom. The fact that Unicom chose to focus on high-end customers in its 3G campaign, relying especially heavily on Apple’s (Nasdaq: AAPL) trendy but costly iPhone, shows a clear lack of foresight by the company, which should have realized that the vast majority of Chinese living outside the wealthiest cities like Beijing and Shanghai may not want to spend 3,000 yuan or more for 3G handsets. I applaud Unicom for finally realizing its mistake and moving to rectify it with a mass purchase of lower-cost phones. But such a fundamental miscalculation looks a bit worrisome, especially as Unicom’s technological advantage could end as soon as next year as China Mobile trials and prepares for the commercial launch of a solid 4G product and China Telecom continues its aggressive 3G promotion.

Bottom line: Unicom’s failure to anticipate demand for low-cost 3G handsets reflects a lack of vision, which will undermine the company’s longer term prospects.

在中国刚刚起步的3G市场，中国联通(0762.HK; CHU.N)从政府那儿得到数不清的好处，但它在提高市场份额方面却显出令人失望的迟缓，现在，我们或许已经知道其中缘由了：缺乏低成本手机。根据国内媒体报导，为扩大市场份额，联通准备采购800万部千元以下的智能手机。光看这一数字就知道，联通在过去四个月中几乎未能在抢占3G市场份额方面取得任何进展。今年4月，联通占有30%的3G市场份额，中国移动(0941.HK; CHL.N)和中国电信(CHA.N)分别为45%和25%。到了8月份，联通的市场份额未变，中国移动则下滑两个百分点，至43%，中国电信则升至27%。在我看来，将进展迟缓归咎于缺乏低成本手机是个非常蹩脚的借口。联通的3G网络在技术上要优于竞争对手，相比中国移动或中国电信的3G用户，联通提供了更多样化的手机选择。但联通选择把高端客户，特别是依赖苹果iPhone手机的人，作为其扩张3G市场的重点，这个事实只能说明联通缺乏远见。联通本应意识到，那些不在北京、上海等一线城市生活的广大中国民众或许不愿花3,000多块钱买个3G手机。联通总算能意识到错误，并通过大量采购低成本手机的亡羊补牢之举，令我感到庆幸。但这麽低级的一个判断失误着实令人担心，尤其考虑到联通的技术优势可能会最早在明年终结，届时中国移动或在明年尝试并准备推出商业化的4G产品，中国电信也会继续其3G网络的推广。

一句话：中国联通未能预见到低成本3G手机的巨大需求，说明缺乏远见，而这一缺陷将有损联通的长远前景。

Related postings 相关文章:

◙ China Mobile Turns Up 3G With New Handset Push 中国移动3G再发力

◙ Unicom Builds Legitimacy with Sina Tie-Up 中国联通联手新浪

◙  Unicom, China Telecom Come Nipping at China Mobile’s 3G Heels 中国联通和中国电信紧盯中国移动3G市场

China Mobile: Where’s the 3G iPhone? 中移动4G网络稳步推进 3G版iPhone或遇阻

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A flurry of new reports about China Mobile’s (HKEx: 941; NYSE: CHL) highly anticipated 4G network came out toward the end of last week, with news of expanded trials and a near-certain tie-up with Apple (Nasdaq: APPL) for an iPhone that will run on the network’s homegrown Chinese technology. But perhaps more interesting was WASN’T in the reports, namely any updates on China Mobile’s talks to develop an iPhone for its struggling 3G network, also based on a Chinese technology standard. One of the two reports late last week cites China Mobile Chairman Wang Jianzhou saying his company has reached an agreement with Apple to work together on an iPhone for the company’s 4G mobile network using a technology called TD-LTE, which is now in advanced trial stages. (Chinese article) A separate article says China Mobile also plans to soon wrap up its first big-scale trials for TD-LTE in six major cities, with plans to start data card trials by the end of the year. (English article) If all goes according to plan, it looks like we could see China Mobile launch serious commercial trials for this 4G network by the end of next year, with full commercial service as soon as 2013 if the telecoms regulator agrees. That’s all fine and good for people looking ahead to 2013, but what’s missing here is any update from the talkative Wang on current talks to build an iPhone for China Mobile’s struggling 3G network, based on a problematic technology called TD-SCDMA. Reports have been rife for a while that China Mobile was close to a deal for a 3G iPhone, after it confirmed last year that such talks were taking place. But Wang’s latest silence looks like either he’s learned to keep quiet on sensitive matters, or more likely the 3G iPhone talks have hit a stumbling block, perhaps due to technology issues. If that’s the case, China Mobile and its stagnant bottom line may have to wait a while still for an iPhone that could bring new life to its 3G and 4G businesses.

Bottom line: China Mobile is making steady progress on its 4G network, but its chairman’s recent silence means talks for a 3G iPhone may have hit a stumbling block.

有报导称，中国移动将扩大4G网络测试，几乎可以确定将与苹果<APPL.O>合作，推适用於中移动自主研发网络的iPhone。但更有意思的是报导没有提及的内容，即有关中移动引进适用其TD-SCDMA网络的3G版iPhone的谈判。上周有报导援引中移动董事长王建宙的说法称，中移动与苹果达成合作协议，将针对中移动的TD-LTE网络推出新款iPhone。另有一篇文章称，中移动还计划尽快结束在六大城市对TD-LTE网络的大规模测试，拟在今年年底前开始数据卡测试。如果一切按计划顺利进行，中移动似乎到明年底前将正式开始TD-LTE网络的商用，如果得到监管部门的批准，最早2013年起将提供全面商用服务。这对於期待4G网络的人来说是好消息，但一向健谈的王建宙却对适用TD-SCDMA网络的iPhone谈判沉默。去年中移动确认在同苹果进行有关引进3G版iPhone的谈判後，有关协议接近达成的报导曾一度甚嚣尘上。但从王建宙近期三缄其口来看，要麽他学会了对敏感问题保持沉默，或者更可能的情况是，3G版iPhone谈判遇阻，很可能是由於技术问题。如果是这样，中移动或需等待一款iPhone问世，为其3G和4G业务带来新的活力，改善其盈利停滞状态。

一句话：中移动在4G网络方面取得稳步进展，但其董事长王建宙近期在3G版iPhone谈判上的沉默表明相关谈判或遇阻。

Related postings 相关文章:

◙ China Telecom Set for Boost With Imminent iPhone Deal 中国电信借力iPhone

◙ Latest Comments Show Why China Mobile’s Conservative Wang Should Retire 王建宙从中国移动退休或许已为期不远

◙ China Mobile Turns Up 3G With New Handset Push 中国移动3G再发力