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THT Research: TechFaith Wireless (China) to Become Mobile Phone ODM by 200827 October 2006
THT Research (THT) (http://www.thtresearch.com), a leading research firm covering information technology contract manufacturing, today released its report on mainland China handset design house TechFaith Wireless.
TechFaith Wireless, with 2,600 employees, is one of the largest handset design houses in the world. With Intel and Qualcomm as major investors, offices in three Chinese cities and in San Diego, and OEM customers from all over Europe and Asia, TechFaith is poised to become a leading global force in mobile phone design.
"But China's handset design industry is facing unique challenges: illegal mobile phone manufacturing in China, challenges from integrated mobile phone solution providers, and the growing accessibility of design technology are eating into design house revenues," says analyst Lin Yuguang of THT Research. "TechFaith's revenue from design and royalty fees has been declining since early 2005, while sales of its components products (mostly wireless cards and modules) rose from US$1.725 million in the second quarter of 2005 to US$6.9 million in the second quarter of 2006. Given that TechFaith is predominantly a design company, this trend does not bode well for future revenues," continues Lin.
"TechFaith is best poised to confront these industry-wide challenges facing all China design houses," states Lin. "However, THT Research expects TechFaith to eventually transition into a full service mobile phone contract manufacturer (ODM), serving the international market. We've already seen the beginning of this transition with the introduction of TechFaith's smartphone models this year" explains Lin.
The Report on TechFaith Wireless is available from THT Research and its resellers.
About THT Research
THT Research is a leading provider of research and information on global information technology contract manufacturing. Managers throughout the IT world rely on THT's Contract Manufacturing Database to provide the answers they need for their business decisions. Covering over 13,000 companies, the database is updated weekly and fully searchable. Full, ongoing access to THT's database may be purchased, as well as access to company or sector-specific segments. In addition, with research teams in Asia, Israel, and the US, THT is adept at providing custom research on companies, sectors, and markets quickly and confidentially. Visit http://www.thtresearch.com and sign up for THT's free weekly e-newsletter to get the latest contract manufacturing news to your desktop.
Contact:
Susan Myers, THT Research
office@thtresearch.com
pr@thtresearch.com
+1-312-235-2673
Source: prnewswire
All trademarks and copyrighted information contained herein are the property of their respective owners.
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