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China Smartphone Market is Growing

Business information company Analysys International says that China's smartphone market will continue growing in the coming years and reach 20 million sets in 2008. The firm's data show that the smartphone market had an annual growth rate of 221 percent in 2004 and an annual growth rate of 207 percent in 2005.

Smartphone shipments are expected to reach 7 million sets by the end of 2005. According to Analysys International's further research regarding the growth rate and industry trends, the market will continue growing and the shipment will reach 20 million sets in 2008. Analysys says that this shows China's smart phone is a promising market full of business opportunities.

Analysys International thinks that the features of the major four operating systems and seven platforms are key factors to determine the market growth rate and market share in China's smartphone market. Among which, the convenience and speed of the OS, the high integration, low power and low cost per unit of chip set in smartphone platform will be premier contributors to smart phone performance and market share.

"The relatively short lifecycle of smartphones requires that the designing period of smart phone should also be shortened," said Fu Xinghua, analyst from Analysys International. "Multi-SOC (System on Chip) should be adopted to optimize the design and SIP (Silicon In Package) should be used to improve the efficiency of IC."

He added that "Efficiency on design, manufacturing and packing will determine the chip performance and launching time of product to enter the market and thus has a critical influence on the market share."

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