LG broke up with Capitel Why so fast.docVIP

 PAGE \* MERGEFORMAT 10 LG broke up with Capitel Why so fast In the recently concluded second phase of China Unicom, network equipment tender, LG and Huawei experienced the same defeat, Huawei missed the last moment, but LG did not even nominated. It is learned, LG has set up a joint venture with the Capitel Capitel Group-LG Mobile Communications Company to withdraw. Putian Capitel Group, a subsidiary of one of the largest last year, output value of more than 200 billion. LG is one of Korea’s largest telecom company, stands to reason that, LG should be a joint venture with the Capitel powerful combination, but the strength of the joint attack Why is bear this kind of ‘weak’ fruit? After the LG is there an easy split plot? Tender failure led Laoyanfenfei As the China Unicom CDMA business to further accelerate the pace, LG successful occupation of CDMA in China’s market share, went on the attack, looking for cooperation partners. Capitel is the LG the first to find cooperation partners, the two joint venture companies, a total investment of 13 million U.S. dollars, of which LG accounted for 45%, Capitel accounted for 55%. Set up a joint venture to operate IS-95A / B, 95C (1X), IMT-2000 and PCS and all other CDMA systems research and development, survival, sales and after-sales service-based. LG phase of China’s potential market for CDMA network equipment, but due to their own devices in telecommunications has not mastered the core technology, so when the inevitable doubts about the tender. Also, because China Unicom CDMA project to take care of domestic telecom equipment companies, all foreign companies must bid bundled domestic telecom companies. Capitel focus of telecommunications equipment as a state-owned enterprises subject to the policy patronage, for the LG by the fancy. China Unicom’s systems in the first tender, the joint venture is also nominated in Beijing, Hunan, Jilin and other eight regions, but eventually came back with nothing. Unicom’s CDMA equ