China’s booming mobile market

Retweet Share on Facebook

Here’s my story of the context of this morning’s announcement, “China Mobile and Symbian Foundation Collaborate to Improve Mobile Ecosystem and Stimulate Development for TD-SCDMA in China“.

In July 2006, I spent 14 days on a family holiday travelling around China.  Everywhere we went, we saw evidence of vast scale.  There was also plenty of evidence of rapid transition.  Our tourguide in the city of Wuhan brought this home to me with the following pithy remark:

Six years ago, mobile phones were pretty rare in these parts.  Nowadays even the cleaning ladies have mobile phones!

These same impressions – scale, and rapid transition – strike me every time I return to China.  The region already hosts three of the world’s top ten phone manufacturers: ZTE, Huawei, and HTC.  These companies abound with ambition to make even larger impacts on the worldwide market.  The network operator China Mobile (“CMCC”) comfortably heads Wikipedia’s list of the world’s largest network operators, with half a billion subscribers.

ChineseCompanies

Mix in fast-rising semiconductor vendors, energetic internet services companies, and nimble multi-skilled design houses, along with a huge flow of highly educated engineering graduates from numerous universities around the country, eager to work hard in a vigorously competitive marketplace, and it’s no surprise that people say that China is becoming the next silicon valley.

Symbian is playing an important role in this transformation.  Nowadays, Symbian-powered devices can be seen on table tops in coffee shops all over China.  The Nokia E71 seems to be a particular favourite, striking a real sweet point in utility.  This perception is echoed by data from “app store analytics” company Distimo, which recently listed the set of the phone models supported by the initial roll-out of the Mobile Market initiative from CMCC.  This list comprises 2 Linux (Ophone) devices, 3 Windows Mobile devices, and 35 Symbian devices (including devices by both Samsung and Nokia).  Further, as reported in this morning’s press release:

Currently, more than 50% of Mobile Market’s 2,000 applications are based on the Symbian platform.

So much for the present.  What about the future?  The press release gives details of joint initiatives between China Mobile and Symbian to enable and create new generations of mobile handsets, applications, and services. For example:

The first partnership initiative is the simplification of Symbian Signed testing services for developers submitting applications to CMCC’s newly launched application store, Mobile Market. The inclusion of Symbian Signed services will allow CMCC to provide mobile developers with a one-stop facility for testing, signing and publishing their Symbian-based applications…

Symbian has guaranteed its support for CMCC’s plans to strengthen its TD-SCDMA 3G network, and to facilitate the Symbian ecosystem in its development of Symbian-based TD-SCDMA devices that will bring the benefits of a 3G network to the operator’s millions of subscribers in the future.

“The Symbian platform holds a strong position in China’s mobile market and we welcome the opportunity to build our relationship with the Symbian Foundation,” commented Lu Xiang Dong, Executive Vice President at China Mobile. “By entering this partnership with the foundation we hope to have greater involvement in the development of new and exciting mobile applications, thereby enabling developers to satisfy consumers’ 3G requirements via our Mobile Market store and enhancing the value chain for the TD-SCDMA industry.”

EVP Lu Xiang Dong, the #3 executive in China Mobile, paid Symbian the honour of visiting us in our offices in London over the last two days.  He brought with him a high-powered team of senior managers, who reviewed many aspects of Symbian’s roadmap, processes, and ecosystem management capabilities.  These two days culminated in the formal signing of a joint “Memorandum of Understanding” (MoU), as witnessed and supported by representatives from the Symbian Foundation Board member companies:

MoU signature

In the picture: Lu Xiang Dong of CMCC and Lee Williams of Symbian sign the MoU, while the following look on: David Chun (Symbian), David Rivas (Nokia), Andreas Malzach (ST-Ericsson), Sonia Ferrante (TI), Stephen Storer (Samsung), and David Wood (Symbian).

This MoU paves the way for Symbian to remain at the heart of the remarkable expansion of smart mobile services throughout the China region and beyond. Of the “next four billion” that I mentioned in my previous blog post, a significant number are based in this region.  I can’t be sure, but my hunch is that the same Wuhan tourguide, just a few years from now, will be telling her touring parties:

Six years ago, smartphones were pretty rare in these parts.  Nowadays even the cleaning ladies have smartphones!

Note: this agreement is the culmination of hard work over many months, led in China by Symbian’s China Region General Manager, David Chun. You can read more about David Chun’s story here.

Posted: September 9, 2009 at 10:48 am

Last updated: February 15, 2010 at 9:03 pm

Categories: Dialogue, Mobile business

Tags: ,,

Short Link: http://wp.me/pqgpU-xQ