China Unicom has sold about 8 million CDMA2000 mobile phones in 2006.
According to the CDMA Development Group (CDG), 70 percent of the CDMA handsets sold in China were priced at less than $129, making them quite affordable and contributing to China Unicom's ending the year with 37 million CDMA2000 subscribers.
In June 2006, South Korea's SK Telecom (SKT) purchased a 6.67-percent stake in China Unicom. The partnership reportedly has strengthened China Unicom's CDMA business by providing additional working capital for advanced mobile handsets, network enhancements and the marketing of value-added services. The increased availability of low-cost handsets and dual-mode (CDMA & GSM) devices, several marketing campaigns and reduced operating costs helped the company attain profitability within the third quarter of 2006. There are as many as 19 dual-mode phones, also known as Worldwind phones, available in China. By the end of 2006, the average selling price for China Unicom's CDMA handset portfolio was less than for its GSM portfolio, which spans from low-cost to high-end dual-mode phones. By the end of 2007, it is expected that sales of low-cost and Worldwind phones in China will hit 5.5 million and 3 million, respectively. China Unicom also introduced a new logo and reorganized its consumer and corporate services branding structure. Its "Rural New Time Space" campaign targeted rural markets by enabling farmers to access agricultural information using SMS or WAP. Plans this year include continued cooperation with CDMA producers to promote performance and price ratios, and to produce more low-cost CDMA handsets set to launch in rural markets.
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