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TOM Online and TCL Communication prepare for 3G in China

June 27, 2005

TOM Online, a wireless Internet company in China, and TCL Mobile Communication, a handset manufacturer, announced a strategic alliance in the run-up to 3G, forging closer relationships to distribute advanced multimedia products on wireless and online platforms and in TCL shops across China.

Already the largest wireless Internet service partner of TCL, TOM Online will further strengthen the provision of its 2.75G wireless products in preparation for the arrival of 3G in China, and focus on the Company's edge in music, entertainment and sports content. TOM Online also will help install computer links at all TCL handsets points of sales in China to promote the Company's range of wireless services.

TOM Online is one of the earliest providers of 3G content to 3G mobile network service operator, 3 Hong Kong. Future 3G services to be embedded in TCL handsets may include products based on TOM Online's popular ringtone, audio/video clips, Flash animation and other entertainment and sports-related services.

TCL Mobile, a unit of TCL Communication Technology Holdings, is the producer of one of the country's top-selling handset brands. It also has formed a joint venture with Alcatel to help expand and consolidate its presence in handset markets overseas.

Liu Fei, TCL Communication Chief Executive Officer, said: 'The cooperation with TOM Online will help ensure the healthy growth of TCL's mobile market by delivering media-rich content applications to fashionable handsets based on advanced technologies. Media-rich content and applications are one of the most important factors that will help ensure the success of 3G in China. And TCL is confident that it will capture opportunities arisen from that.'

Government data shows China had more than 330 million cell phone users at the end of 2004, and that number may grow by another 58 million this year, making it the largest handset market in the world. The country's wireless data market is expected to grow to US$9.25 billion in revenue in 2008 from an estimated US$5.26 billion in 2005, according to technology consultancy Gartner.

The TCL-TOM Online partnership comes on the heels of TOM Online's announcement on June 20 that it is the sole wireless and the premier Internet distribution partner for Warner Bros. Online in China.

 

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