13th July - China TechFaith Wireless, a handset application software and handset design solution provider based in China, announced it will expand into the low and ultra low cost 3G handset markets. TechFaith will target emerging markets including India, South East Asia, Eastern Europe, Russia and Latin America.

The Company will initially offer a US$79 and a US$69 model WCDMA phone. Based on QUALCOMM's recently launched MSM6245 platform, the new phones feature "candy bar" style designs, with quad-band capabilities (UMTS2100 / GPRS10 / GSM900 / DCS1800).

Defu Dong, TechFaith's Chairman and CEO, said, "As a pioneer in low and ultra low cost 3G handset development, we believe the low and ultra low cost markets represent big opportunities for us globally. We carefully evaluated the markets based on customer demand. We think there are immediate synergies where we can use our vast expertise in developing high technology phones quicker and cheaper to successfully provide compelling low and ultra low cost phones, capable of taking marketshare. We will allow carriers and regional distributors to brand our phones with their own brands on a market by market basis. Importantly, more features can be added according to customer specifications. We expect the high volumes and profit profile of low and ultra low cost 3G handsets will contribute to our stated objective of returning TechFaith to a trajectory of sustainable, profitable revenue and earnings growth."