REDWOOD CITY, Calif. - May 10, 2001 -- Openwave Systems Inc. (Nasdaq: OPWV), the worldwide leader of open IP-based mobile Internet infrastructure software and applications, today announced that Eastern Communications (Eastcom), China's largest and only state-run supplier of cellular phones and mobile communications equipment, has become the first Openwave™ Mobile Browser licensee in China. The Openwave Mobile Browser WAP Edition will enable mobile users to access wireless data services, mobile Internet sites, and intranet information through their Eastcom GSM handsets.
Openwave continues to collaborate with the largest handset manufacturers worldwide to improve the consumer mobile experience. The mobile browser strategy represents just one part of the Openwave™ Services OS™ strategy, to provide the technologies and knowledge to help improve the mobile Internet experience.
"Openwave is proud to work with Eastcom as a leading handset manufacturer in China. We are committed to working closely with them to bring innovative, affordable, and user-friendly mobile solutions to the Chinese market and support their goal to become a global supplier," said ZQ Shr, general manager in Openwave China. "This agreement with Eastern Communications further solidifies Openwave's presence in Asian-manufactured handsets."
Eastcom has been selected by the Chinese government to become globally competitive upon China's entry into the World Trade Organization. Eastcom expects to achieve rapid time to market and gain global competitive advantages quickly by partnering with Openwave. In addition, Eastcom has established an R&D center in Silicon Valley and is the first Chinese manufacturer to own intellectual property rights for mobile equipment in China. Eastcom estimates their handset production at 10 million mobile phones per year over the next five years.
Over 40 mobile device manufacturers have licensed the Openwave™ Mobile Browser, which has been integrated in over 170 models of mobile phones representing over 100 million devices. Eastcom is expected to integrate the Openwave™ Mobile Browser WAP Edition which features an intuitive graphical user interface (GUI), a flexible architecture for current and next generation wireless devices, including mobile phones, PDAs and mobile information appliances, and which allows end users to securely download large objects including ring tones and images.
The availability of locally designed and manufactured handsets with the WAP compliant Mobile Browser is expected to fuel the penetration of mobile Internet access in China as handsets become more affordable. Prices for locally designed and manufactured handsets in China are estimated at about half the price of multi-national-branded phones. The Yankee Group estimates China's WAP-enabled customers will grow from 6 percent of total subscribers today to 38 percent in 2004. According to China's Ministry of Information Industry, China's cellular subscribers will reach 270 million in 2005 from 85 million today.
