Mr. Johan Pross (CEO of T3G)	Mr. Zhang DaiJun (CTO of T3G)

After giving a positive evaluation for TD-SCDMA marketing potential, Mr. Pross also talked about its marketing risk. He thought the main risk lies on whether this technology can be mature as soon as possible, especially on terminal maturity. The developing of TD-SCDMA terminal chip has very important significance for its fast growth. Currently there are some brother suppliers also are developing TD-SCDMA terminal chip. All of them have made remarkable progress, which can show the signal that this technology is gradually going to be mature. More and more vendors joined TD-SCDMA family will benefit its large-scale commercial use. Mr. Pross emphasized that T3G’s rivals are not other TD-SCDMA terminal chip suppliers but different 3G standards such as WCDMA suppliers. If T3G can provide commercial products in shorter time our marketing share will be bigger.

Then, in current phase how to push TD-SCDMA technology to going ahead fast? Mr. Pross’s opinion is suppliers should do well what they should do step-by-step. Energy should be concentrate on R&D and enhance own strength to guarantee high-quality commercial product available. To realize leading product has no any short cut. It should get across different testing for continuous improvement. Mr. Pross said, TD-SCDMA industrialization is a lengthy process. It is a marathon not 100m race. It is very important for all of us to calm down, work hard to create competitive product. If we are so blundering, it is difficulty for this industry to succeed. With respect to a whole, chip developing is the bottleneck of current TD-SCDMA terminal development. The work of chip suppliers is very important because mobile phone vendors can do little without the availability of commercial terminal chip. Regarding this point, Mr. Zhang Daijun added, although current government support (both policy and fund) has accelerated TD-SCDMA industrialization. For some unknown reasons, such support to terminal chip vendors is very limited. This situation severely affects the maturity of terminal chip. As a result developing of the whole TD-SCDMA industry is restricted. Mr. Zhang suggested government to give support with more efficient methods: offering more power to terminal chip developing to crack the bottleneck of TD-SCDMA industrialization.

When talking about T3G’s strategy, Mr. Pross said T3G’s objective is very clear – to provide real commercial solution to guarantee large-scale TD-SCDMA mobile phone manufacturing in second half of next year. To achieve this goal, T3G should pay attention to two points: 1st is the solution should be stable and reliable; 2nd is to try best to short the time to market. T3G will furthest adopt available commercial, long-tested technologies. Meanwhile, T3G will provide a total solution, not just only one type of chip.

Regarding above comments, Mr. Zhang Daijun emphasized, T3G will not put main energy on demo terminals. He said, demo terminal is just a preliminary verification phase, not the end in chip developing process. T3G’s target is total commercial solution. Mr. Zhang also said, from industrialization point of view, large-scale TD-SCDMA phone manufacturing should be after the availability of 3rd or 4th chip. T3G has started 2nd soon and prepare the 3rd chip. From this point of view, the 1st chip’s stability and maturity will benefit its successors. Mr. Zhang revealed T3G’s 3rd chip would be provided to phone suppliers to realize primary supply of TD-SCDMA terminal in the middle of next year. In 2006 the 4th chip (more mature, lower cost) will be able to support more than millions of TD-SCDMA terminal manufacturing. According to T3G’s forecast, in 2006 there will be millions of TD-SCDMA subscribers.

AS for the features of T3G solution, Mr. Zhang introduced, T3G solution will be TD-SCDMA/GSM dual mode. This solution will meet market requirements, which can help carriers to attract more subscribers. Multiple modes solution is the direction of future 3G mobile markets. Mr. Zhang also emphasized, if there is marketing requirement for TD-SCDMA alone phone, T3G will provide single mode solution without any time delay. This is one of advantages from T3G solution. Regarding the technical difficulties of TD-SCDMA terminal chip, Mr. Zhang introduced, different 3G standards have different technical difficulties. TDD technology has its own features and difficulties. After years of R&D and continuous testing, most problems have been resolved. From cost of view, TDD technology makes it easy to integrate RF part on one chip. Also TDD technology has less complexity than FDD, which can provide the chip more smaller size and lower cost. Although the level of industrialization of TD-SCDMA is not so good as WCDMA, the gap has been reduced by all the efforts from TD-SCDMA family. We have enough reasons to believe: in 2006 this gap will disappear. At that time TD-SCDMA will have more technical and industrialization advantages.

That will be the coming of TD-SCDMA era!!