ZTE Making A Push in UK

ZTE Corporation (SZSE: 000063 and SEHK: 0763), one of the leading telecom equipment makers in China, is making a push in the UK, one of the most critical consumer electronics markets in Europe.

The Shenzhen-based company gains 60% of the data card market and 8% of the mobile phone market in the UK this year, paving the way for its further expansion in the one world's most attractive mobile telecom terminal markets.

ZTE sees its share in the data card market and mobile phone market in the UK more than doubled from 30% and 3% last year, respectively, said Jing Hui, general manager for ZTE UK, based in London.

The company attaches great importance to brand promotion in the UK, where it can extend its brand awareness to other markets in the continent, according to Mr. Jing, noting that mobile phone is closely connected with media at the moment.

ZTE sets an aim to edge into the Top Three global mobile phone makers list within five years, said Mr. Jing, "the company has a lot to do before it can catch up with the No. 3 mobile phone maker in the world." Statistics from third-party data show that ZTE ranked the fifth biggest mobile phone maker around the world by sales volume in the first three quarters of this year.

"ZTE has to gain a ground in the high-end market if it wants to be a mainstream supplier," according to Mr. Jing, "to tap into the developed countries will help beef up our brand image, in both terminal and equipment." The company made its name known in developing countries and territories such as Africa, Asia-Pacific, and south America at first.

ZTE regrouped its global sales channel in 2009, setting up departments in charge of business in Europe and north America in an effort to scramble for the full-fledged market.

The company, which dipped toe in the UK in 2001, did not make products massively in the country until 2008. ZTE inked a contract to make data cards for O2, one of the five major mobile phone operators in the UK, this year, starting its aggresive deployment in the mobile phone and data card market.

The company rolled out two models of smartphones based on the sparkling Android operating system initiated by Google, Inc. (Nasdaq: GOOG) this year, targeting medium- and high-end consumers, acording to Mr. Jing, explaining that China-made smartphones usually outstand their rivals in price and performance.


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