Jane Chen / Shanghai Daily news

Ready for a strong foray into the telecommunications end-product market, Shenzhen-based Huawei Technologies Co will adopt a well-balanced strategy, providing phones for both 2G and 3G technologies, today's China Business News (CBN) reported.
The first supply of CDMA (Code Division Multiple Access) phones will hit the market nationwide from November while the GSM (Global System for Mobile Communication) phones are still being tested by the telecom authority, according to spokesperson Fu Jun, as quoted in the CBN report.
The company has started sales of CDMA phones in some areas.
China's largest privately-owned telecom equipment supplier, Huawei obtained cell-phone manufacturing licenses from the Ministry of Information Industry in March for both 2G technology GSM and 3G standard CDMA.
Massive production of the 3G phones is anticipated for next year to cover all product ranges, Fu noted confidently, after the company's success with 3G in overseas markets.
Last year it sold 5 million CDMA phones overseas, and volume is expected to jump this year as sales in the first six months hit 3 million.
In comparison, the production of GSM phones is smaller, with only two models on offer so far, according to sources close to Huawei. This is the first time Huawei has launched 2G cell-phones.
Analysts regard Huawei's tapping of the 2G market as a test for its 3G products, given the fact that it is not the right time to enter the current GSM market, which is seeing a downturn.
"Huawei uses the 2G sector as a laboratory to test its strategy for 3G products in which it has more advantages in terms of development, manufacturing and marketing," said Tian Xiaodong of Analysys International, a technology consulting firm.
Leading domestic phone makers of 2G products are reporting losses in their latest mid-year figures, with 57.57 million yuan (US$7.1 million) in losses at Amoisonic Electronics Co Ltd and 107 million yuan at Ningbo Bird Co Ltd.