May 22, 2001 in Social Responsibility News

SAMSUNG Electronics Goes After Chinese 3G Mobile Communications Market

SEOUL, Korea - May 22, 2001 #Samsung Electronics, a world-leading producer of code division multiple access (CDMA) equipment, has already secured supply contracts for 2G CDMA systems and handsets in China. Now the company is zeroing in on the Chinese 3G market. Samsung Electronics and China Unicom are scheduled to discuss a cdma2000 1x project and related technology exchange at the end of May.

China Unicom has already concluded its selection of suppliers for the initial phase of a 2G nationwide system now under construction. During the talks on exchanging 2G technology, plans were also made to discuss a 3G project.

China Unicom has selected Samsung to provide the equipment needed for a test cdma2000-1x network this year, with full-scale service scheduled to begin in 2002. The test network will have a capacity of around 3 million lines and be worth some US$500 million.

Samsung Electronics officials see their upcoming meeting with China Unicom as an outstanding opportunity to take part in China# 3G mobile communications business. The equipment that Samsung Electronics has already been contracted to supply to China Unicom can easily be changed over to cdma2000 1x. In addition, the company is also close to completing development of a cdma2000 1x EV-DO system, the next evolutionary level from cdma2000 1x.
Moreover, Samsung Electronics already has commercialized its cdma2000 1x equipment and supplied it to Korean service providers SK Telecom and Korea Telecom Freetel. Samsung has also supplied 2G systems to US and Australian carriers and this experience is expected to support its advance into China.

Samsung Electronics has been laying the groundwork for securing a place in China# CDMA project since 1996. The company# first China involvement was a network in Shanghai in 1997, followed by installation of a CDMA network that services 500,000 subscribers in Hubei Province in 2000.

On May 15, China Unicom announced the results of its public tender for the first phase of its CDMA project. Samsung was chosen to supply equipment in four regions of China, including Shanghai

About Samsung Electronics
Samsung Electronics Co. Ltd. is a global leader in semiconductors, the consumer electronics industry, and digital convergence technology. With year 2000 sales of US $27 billion, Samsung employs approximately 66,000 people in 46 countries. The company is the world# largest producer of memory chips, TFT-LCDs, CDMA mobile phones and monitors and the sixth-largest manufacturer of mobile phones. Samsung Electronics consists of four main business units: Digital Media, Semiconductor, Information & Communications, and Home Appliance Businesses. For more information, please visit http://samsungelectronics

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