SOURCE: China TechFaith

July 10, 2007 08:16 ET

TechFaith to Expand Into Low & Ultra Low Cost 3G Handset Markets

BEIJING--(Marketwire - July 10, 2007) - China TechFaith Wireless Communication Technology Limited (NASDAQ: CNTF), a handset application software and handset design solution provider based in China, today 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). Additional specifications are available at www.techfaithwireless.com.

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."

About TechFaith

TechFaith (NASDAQ: CNTF) is one of the largest handset application software and handset solution providers based in China. The Company employs approximately 1,400 professionals, of whom 90% are engineers. TechFaith's business includes handset design, feature phone solution, wireless module and data card, application software, and smartphone and pocket PC. With the capability of developing MMI / UI software on GSM/GPRS, CDMA1X, EVDO, WCDMA/UMTS, HSDPA and TD-SCDMA communication technologies, TechFaith is able to provide MMI/UI software packages that fulfill the specifications of handset brand owners and major global operators. Having a full range of wireless application software including WAP, Java, MMS, WWW browser, SyncML and DRM, TechFaith is also providing total solutions for upper layer software of handsets. In addition, TechFaith is developing smart phone software based on open operating systems including Linux and Windows Mobile, and capable of implementing high-end smart phones integrating Bluetooth, WiFi, high megapixel cameras, etc. based on different communication technologies according to special requirements of customers. For more information, please visit www.techfaithwireless.com.

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Among other things, the business outlook and quotations from management in this announcement, as well as TechFaith's strategic and operational plans, contain forward-looking statements. TechFaith may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission on Forms 20-F and 6-K, etc., in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about TechFaith's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, TechFaith's limited operating history, mobile handset brand owners' discontinuation or reduction of the use of independent design houses, TechFaith's ability to retain existing or attract additional international customers, TechFaith's earnings or margin declines, failure to compete against new and existing competitors, and other risks outlined in TechFaith's filings with the U.S. Securities and Exchange Commission, including its annual report on Form 20-F. TechFaith does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

Contact Information

  • CONTACTS:

    In China:
    Ms. Helen Zhang
    Tel: 86-10-5822-7390
    Email Contact

    In the U.S.:
    David Pasquale
    EVP at The Ruth Group
    Tel:+646-536-7006
    Email Contact