Tag Archives: ZTE

ZTE China. Latest Business and financial news of ZTE corporation news overview of an expert of Chinese Companies Doug Young

SMARTPHONES: ZTE Joins Chorus of Smartphone Trouble Signals

Bottom line: Beijing should note the latest trouble signal from ZTE in the smartphone sector, and take steps to prevent future similar boom-bust cycles by encouraging more responsible investing incentives by local governments.

ZTE cautious on China smartphone market
ZTE cautious on China smartphone market

The latest trouble signal from China’s overheated smartphone sector came last week from telecoms stalwart ZTE (HKEx: 763; Shenzhen: 000063), which said it would remain cautious in the world’s largest market even as it announced ambitious new sales targets for the rest of the world this year. The company’s relative caution in its own home market comes amid a looming shakeout that is just the latest in a series of boom-bust cycles that have become all too common in China’s business landscape in the last 3 decades.

While market forces play a large role in these bubbles, regional governments looking to spur economic growth may also share some responsibility by offering incentives that encourage local firms to enter unfamiliar areas where the chance of failure is high. Such failures often result in big financial losses and mass layoffs, negating any economic benefit they were supposed to create. Read Full Post…

News Digest: January 23-25, 2016

The following press releases and media reports about Chinese companies were carried on January 23-25. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════

  • ZTE (HKEx: 763) Eye) 70 Mln Smartphone Sales in 2016, Up 25 Pct, Cautious On China (Chinese article)
  • Wal-Mart (NYSE: WMT) to Open First China Shopping Center, Eyes Cross-Border E-Commerce (Chinese article)
  • Used Car Auction Website Uxin Raises $400 Mln Series D Funding – Source (English article)
  • Sohu (Nasdaq: SOHU) Workers Punished, 2 Fired for Related Party Transactions (Chinese article)
  • Apple (Nasdaq: AAPL) Pay to Launch in China in February – Bank Document (Chinese article)

News Digest: January 21, 2016

The following press releases and media reports about Chinese companies were carried on January 21. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════

  • Weibo (Nasdaq: WB) Drops 140-Character Message Limit to Boost Usage (Chinese article)
  • Apple (Nasdaq: AAPL) Accelerates China Expansion with 5 New Stores in January (Chinese article)
  • Ground-Breaking Held for First Six Flags (NYSE: SIX) Branded Theme Park in China (Businesswire)
  • Alibaba (NYSE: BABA) Teams With Nvidia in $1 Bln Bet on Cloud Computing (English article)
  • ZTE (HKEx: 763), Suning Alliance Targets 10 Mln Nubia Smartphone Sales in 3 Years (Chinese article)

News Digest: January 20, 2016

The following press releases and media reports about Chinese companies were carried on January 20. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════

  • Meituan-Dianping Completes $3.3 Bln Funding, Values Company at $18 Bln (Chinese article)
  • ZTE (HKEx: 763) Announces Preliminary 2016 Results, Profit Up 43.5 Pct (HKEx announcement)
  • Uber Covers All of Sichuan Province (Chinese article)
  • Toys R Us to Boost China Store Count 30 Pct to 130 Stores This Year (Chinese article)
  • Zhaopin (NYSE: ZPIN) Announces Receipt of Preliminary Buyout Proposal (PRNewswire)

News Digest: January 14, 2016

The following press releases and media reports about Chinese companies were carried on January 13. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════

  • Shanghai Disney (NYSE: DIS) Resort to Open on June 16 (English article)
  • China Telecom (HKEx: 728), Unicom (HKEx: 762) Partner to Improve Operations (English article)
  • Yum’s (NYSE: YUM) China Sales Rose 1 Pct in December Before Planned Spinoff (English article)
  • Huawei Founder Ren Targets 30 Pct Annual Growth for Consumer Division (Chinese article)
  • HK Tycoon Richard Li Sells Down ZTE (HKEx: 763) Stake (HKEx announcement)

SMARTPHONES: Lenovo Eyes China Comeback, Gains in India and Brazil

Bottom line: Lenovo’s plans to turn around its struggling smartphone business lack focus and are likely to fail, which could ultimately result in the exit of longtime chief Yang Yuanqing this year.

Lenovo denies plans to change Motorola logo

Computer giant Lenovo (HKEx: 992) was busy showcasing its latest PCs at a major trade show last week in Las Vegas, but industry watchers were far more interested in the outlook for its struggling smartphone business. That’s because 2016 could easily become a make-or-break year for Lenovo, which desperately needs to turn around a smartphone unit that will be critical to its future growth.

In response to a flurry of questions focused on its smartphones, talkative CEO Yang Yuanqing said his company is making steady progress in the BRICS markets of Brazil and India, and that he’s aiming to set Lenovo back on an upward track in its home China market. Lenovo also announced a vague new smartphone partnership with Google (Nasdaq: GOOG), and denied any plans to jettison its the famous bat-wing logo for its recently acquired Motorola brand. Read Full Post…

News Digest: January 9, 2016

The following press releases and media reports about Chinese companies were carried on January 9. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════

  • Alibaba’s (NYSE: BABA) Ant Financial Approved for Internet Bank in South Korea (Chinese article)
  • Gaming Firm Perfect World Returns to China A-shares via TV Studio Affiliate (English article)
  • Ctrip (Nasdaq: CTRP) Announces $180 Mln Investment in Indian Peer MakeMyTrip (PRNewswire)
  • ZTE (HKEx: 763) Chairman Hou Weigui to Step Down at Next Board Meeting in March (Chinese article)
  • LeTV Sports in Partnership to Live Stream Major League Baseball Games in China (Businesswire)

SMARTPHONES: ZTE Ties With Suning, Eyes Big Growth

Bottom line: ZTE’s new Suning tie-up presages an aggressive push into the China smartphone market this year, potentially helping it reach an aggressive target for 20 percent annual revenue growth over the next 5 years.

Suning buys into Nubia

Following a painful restructuring that wrapped up more than a year ago, telecoms stalwart ZTE (HKEx: 763; Shenzhen: 0000063) is heading into the New Year with a major new partnership with retailing giant Suning (Shenzhen: 000063), and a medium-term revenue target that looks quite aggressive. The signals reflect a new level of confidence at ZTE, which has returned to the profit column and is aggressively building up its smartphone business as a key plank for its future growth.

The smartphone business lies at the heart of the new tie up with Suning, which is buying a major stake in ZTE’s separately-run upscale Nubia brand. The bigger picture has a top ZTE official forecasting the company’s revenue will hit 200 billion yuan ($31 billion) by 2020, a 150 percent increase over 2014 levels. Read Full Post…

News Digest: Jan 1-4, 2016

The following press releases and media reports about Chinese companies were carried on January 1-4. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════

  • New Rumors of iQiyi Acquisition Plan by China Media Capital (CMC) (Chinese article)
  • Suning Invests 1.9 Bln Yuan in ZTE’s (HKEx: 763) Nubia Smartphone Unit (Chinese article)
  • China Southern, Hainan Air Suspend Sales Over Qunar (Nasdaq: QUNR) (Chinese article)
  • Movie Ticket Sales Jump 48 Pct in China, But Hollywood Has Reason to Worry (English article)
  • O2O Crowdsourced Delivery App Dada Lands $300 Mln Series D Funding – Source (English article)

News Digest: December 30, 2015

The following press releases and media reports about Chinese companies were carried on December 30. To view a full article or story, click on the link next to the headline.
══════════════════════════════════════════════

  • Baidu (Nasdaq: BIDU) Takeout Delivery Seeks $300-500 Mln in Funding – Sources (English article)
  • European Chamber Says Still Has Concerns on China Anti-Terror Law (English article)
  • Billionaire Usmanov Says He’s Started Selling Alibaba (NYSE: BABA) Stake (English article)
  • ZTE (HKEx: 763) Targets 200 Bln Yuan in Annual Revenue by 2020 (Chinese article)
  • Head of Shanda Games (Nasdaq: GAME) Privatization Group Detained in Fraud Case (Chinese article)

SMARTPHONES: Huawei Passes 100 Mln Mark, Eyes Apple

Huawei sells 100 mln smartphones

It’s official: the fast-rising Huawei has formally passed the 100 million mark for smartphone sales this year, cementing its place as the world’s undisputed third largest player behind only Apple (Nasdaq: AAPL) and Samsung (Seoul: 005930). In a relatively unusual move for this low-profile company, Huawei is also trumpeting the milestone in a formal press release and forecasting more strong growth for next year.

Huawei has been China’s biggest success story to date in the young smartphone space, gaining rapid momentum over a crowded field of domestic rivals that includes Lenovo (HKEx: 992), ZTE (HKEx: 763; Shenzhen: 000063) and smaller names like Alibaba-backed Meizu. But the company should also carefully watch the case of the stumbling Xiaomi, which was being called a homegrown Chinese version of Apple before it began its recent rapid fall from grace. Read Full Post…