Sony Ericsson Mobile Communications announced that it was going to invest m40m to set up a holding company and a research and development centre in China. The statement was made at the official launch of the China operations of the joint venture, which has taken over Ericsson's mobile phone manufacturing operations.
Sony Ericsson also said that it planned to expand capacity at its two plants in Beijing by 50 per cent to meet growing demand for mobile phones in China and elsewhere. The company would launch two new mobile phones onto the Chinese market, including one that would accept Chinese text input when sending SMS.
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