Japanese companies scope out Chinese 3G territory

April 10, 2005 - source: BWCS

Japanese electronics manufacturer Fujitsu is to forge a joint sales agreement with French vendor Alcatel covering next generation mobile network equipment in China. A spokesperson for the Japanese firm said "We are seeking sales cooperation in China as there are areas where Alcatel is strong and areas where Fujitsu is strong." Between them the two companies have targeted a 15% share of the future market for 3G equipment in China.

The two are already working together via their Paris-based Evolium joint venture. Evolium concentrates on mobile network kit for GSM and more recently has begun constructing and selling 3G equipment.

The Alcatel-Fujitsu move is indicative of the "safety in numbers" approach being applied by western operators as they wait for the Chinese Ministry of Information Industry to finally make a decision over the future of next generation mobile services in the People's Republic. Another Japanese electronics giant, NEC, recently admitted that it has been holding talks with China's largest mobile phone operator, China Mobile Communications, with a view to selling 3G equipment.