Figure 1. Telecommunications Events in China
With a population of over 1.3 billion, China has the largest handset market in the world
and this market continues to grow at a rapid rate. At the end of 2003 there were an estimated
268 million mobile subscribers, and more than 5 million people signed up for cellular phones
each month (MII, 2004). Before 1999 China’s mobile handset market had been completely
dominated by foreign brand products, such as Motorola, Nokia, and Ericsson. As China applied
its “Attracting and Absorbing Foreign Direct Investment” policies towards foreign mobile
communications equipment providers, almost all major handset manufacturers were encouraged
to establish joint ventures in China. As a result, all mobile phones sold in China were produced
by foreign-owned enterprises or imported directly from abroad before 1998. Lacking scientific
China's Mobile Handsets FINAL DRAFT 2006.sph ERSA2006 Greece
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