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Motorola Strengthens Commitment to China Telecom

Strengthening its commitment to the Chinese telecom market, Motorola has committed $90 million to enhance its presence in Beijing.

"Motorola determined it would be beneficial to the company and its employees [to combine] two current facility sites in Beijing -- one for R&D and one for general management, administration, marketing, sales -- into one campus," spokeswoman Mary V. Lamb told internetnews.com.

Slated to open in the fourth quarter of 2005, the new facility will be located in the Wangjing zone of Beijing and have 2,500 employees.

Motorola has been in China since 1987 and sees it as an important country, not only for R&D and manufacturing but as an emerging market.

Earlier this year, Motorola tallied more than $1 billion in contracts from two mobile carriers. China Unicom agreed to buy $556 million of equipment to expand its CDMA network.

And China Mobile will pay $510 million for gear to improve its GSM communications network, including upgrades that will help it prepare for third-generation service.

China is attractive to Motorola and other wireless specialists for several reasons: it has a large population; a trade climate that appears to be gradually improving; and a relative dearth of wireline infrastructure, making mobile technology a logical choice for quick deployments of networks and services.

In other telecom news out of China today, Lucent named Ivan Shen as Chairman of Lucent China and vice president of Lucent Technologies.

Previously, Shen was president of Global Pioneer, a Hong Kong-based marketing consulting firm. Business from China currently represents about 11 percent of Lucent's total revenues.



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