Datang Mobile Communications Equipment has formed a joint venture with Dutch electronics giant Philips and Samsung of South Korea to design third-generation mobile phones, Reuters reported. The new company will be called T3G Technology Co and it will start production of chips and reference sets for Datang's TD-SCDMA mobile standard in the second quarter of 2004. The venture will focus on dual-mode technologies, allowing phones to run on both TD-SCDMA and WCDMA networks. It will not make mobile phones itself but will license its hardware and software designs to handset manufacturers.
Analysts say that they expect the government to award a TD-SCDMA 3G licence later this year or in 2004, along with the more mature standards CDMA-2000 developed in the US and the European WCDMA.