US-based communications giant Motorola Inc. plans to bring to China's market a new low-priced mobile phone, one currently selling at US$40 abroad, to tap the huge potential of China's undeveloped low-end phone market, today's Beijing Daily Messenger newspaper reported.

In this report, Michael Tatelman, Vice President and General Manager of North Asia Motorola's Mobile Devices Business division, hopes the new phone, at around 350 yuan (US$42), will be an effective weapon for Motorola to capture the top of China's phone market while he is an executive officer.

Each year there are over 100 million cell phone purchasers in China, but the total number of cell phone users is still only 30 percent of the total population, he said. The remaining 70 percent offers a big opportunity for Motorola to beat out its competitors.

Motorola will talk with telecom operators to establish a favorable fee policy for users of this new phone, he noted, because users will demand comparatively cheaper fees.

Motorola announced a plan earlier this year to sell 6 million low-priced phones between April and September, the Beijing Daily Messenger report said, citing an industry source. The cheapest Motorola phones on the market are currently sold at over 400 yuan.

(Shanghai Daily April 27, 2005)