MONTHLY REPORT

Li Pin

January 2003

 

MARKET NEWS

1.      SINA to Acquire Leading Independent Mobile Value-Added Service Provider in China

Acquisition will double SINA Wireless revenue, add two million paying subscribers, expands service offerings and triple nation-wide sales force

BEIJING & SAN MATEO, Calif.--(BUSINESS WIRE)--Jan. 6, 2003-- SINA Corporation (Nasdaq:SINA - News), a leading online media company and value-added information service provider for China and for global Chinese communities, announced today that it has entered into a definitive agreement to acquire MeMeStar, a leading independent mobile value-added service provider in China for a total purchase price of $20.8 million in cash and SINA shares. After the acquisition, SINA expects to double its wireless revenue, add two million paying subscribers, triple its nation-wide sales force for wireless business, and expand its overall service offerings.

http://biz.yahoo.com/bw/030106/60153_1.html

2.      Jan 8,2003. Sina and Ncsoft announced their co-operation start work, and they start their first game “lineage” in China. This time they co-work, focus on Internet game. Ncsoft is a Korea Internet game company, and it is also the biggest Internet game company in the world. “lineage” is the most popular Internet game, it has 100 million register users in the world.

News from sina.com.cn: http://tech.sina.com.cn/focus/Lineage/

3.   China Web portals surge to 2-year highs

 HONG KONG, Dec 24 (Reuters) - Shares of three China-oriented web porrtals soared to highs not seen since the height of the Internet boom on Monday on the expectation they will report fourth-quarter profits -- the first time all three would have done so in the same quarter

           http://biz.yahoo.com/rc/021223/tech_china_portals_2.html

4.  China United Telecom Says CDMA Subscribers Exceed 7 Million

BEIJING -(Dow Jones)- State-owned telecom operator China United Telecommunications Co., the parent company of China Unicom Ltd. , said subscribers to its code division multiple access, or CDMA, network have topped 7 million.

China United Telecom President Wang Jianzhou said Thursday that its CDMA subscribers reached 7.01 million as of Wednesday, the official Xinhua News Agency reported.

http://biz.yahoo.com/djus/021226/0554000097_1.html

5.  S Korea's SK Telecom, China Unicom To Sign JV Deal Thursday

SEOUL -(Dow Jones)- South Korea's SK Telecom Co. will sign an agreement with mobile service provider China Unicom Ltd. later Thursday to set up a wireless Internet joint venture in China.

Financial terms weren't disclosed.

In a disclosure to the Korea Stock Exchange Thursday, SK Telecom, South Korea's largest wireless carrier, said the joint venture will offer wireless Internet services to subscribers of code-division multiple access technology- based mobile services through China Unicom.

SK Telecom will own 49% of the joint venture, which will be launched in the first half of 2003, while China Unicom will hold a 51% stake.

           http://biz.yahoo.com/djus/030115/2231001086_1.html

6.  NBA.com Launches Internet Site in Chinese

China's Leading Internet Portal SOHU.com to Host, Publish and Promote New Site, NBA.com/china

BEIJING, Jan. 15 /PRNewswire-FirstCall/ -- NBA.com, the official web site of the National Basketball Association, and SOHU.com (Nasdaq: SOHU - News), China's leading Internet portal, announced today the launch of a comprehensive Chinese destination, NBA.com/china. The new site features audio, statistics and text content translated by SOHU, which will also host, publish and promote the site in China.

NBA.com/china, written entirely in Chinese characters, will provide fans with extensive NBA coverage throughout the season, along with the NBA All-Star Game, NBA Draft and special events, including offseason trades and breaking news.

 

http://biz.yahoo.com/prnews/030115/nyw057_1.html

7.       Motorola and SINA Enters into Strategic Cooperation on Wireless Site to Serve Mobile Handset Users in China

 SINA's Three-Year Strategic Alliance With Motorola Includes Advertising Commitments, Wireless Information Providing and Wireless Community Building

BEIJING & SAN MATEO, Calif.--(BUSINESS WIRE)--Jan. 13, 2003-- SINA Corporation (Nasdaq:SINA - News), a leading online media company and value-added information service provider for China and for global Chinese communities, announced today that it has been selected by Motorola, the market leader for cell phone handsets in China, as its strategic partner for a wireless site to serve mobile users in China. The three-year strategic agreement includes advertising commitments from Motorola as well as strategic cooperation on providing wireless information and wireless community functionalities in China.

http://biz.yahoo.com/bw/030113/130122_1.html

8.  China Telecom, Netcom To Keep Building PHS In '03 –Report

 BEIJING -(Dow Jones)- Chinese telecom operators will continue investing this year in the discount mobile phone service known as Xiaolingtong, or "Little Smart", according to an analyst report issued at the weekend.

While China Telecom Group and China Netcom Group will likely shift their focus to conventional mobile phone services once they are licensed to do so, in the meantime they will continue to expand networks for Xiaolingtong, the report by Beijing-based Norson Telecom Consulting said.

Xiaolingtong is a type of limited-mobility phone service similar to the PHS, or personal handyphone system, technology used in Japan. Its rates are much cheaper than conventional mobile services but it doesn't allow roaming outside the local service area.

http://biz.yahoo.com/djus/030113/0232000037_1.html

9.  After IQ and EQ, now, Now more and more company start use AQ, AdversityQuotient,High AQ person will become well faster than low AQ person after a operation in hospital, and high AQ person is good in sales, and know how to face the bad situation in his work.

http://tech.sina.com.cn/roll/2003-01-13/1247160852.shtml

10. A research from International Data Corp, it is said in the 4th quarter, there

      is total sold 6.8 million PCs in Asia (except Japan). The rating is:

No. 1 is Legend (13.2%)

No. 2 is HP (8.7%)

No. 3 is IBM (6.3%)

No. 4 is Dell (5.8%)

No. 5 is Founder (4.5%)

No. 6 is Samsung (4%)

 

           http://tech.sina.com.cn/it/w/2003-01-21/0754162236.shtm

11.  A news said, this half year, even though the Internet users increase fast in  China, but the top three website traffic volume start to decrease. Data from Alexa said, hale years ago, the top three website rating in the globe website is: Sina # 7; Sohu # 12 and Netease #11, and now their rating in the globe website is: Sina # 12, Sohu # 15 and Netease # 16.

             http://tech.sina.com.cn/i/w/2003-01-20/1802162203.shtml

12. SOHU.COM Reports Fourth Quarter & 2002 Fiscal Year Financial          Results

Fourth Quarter Income 6 Cents Per Share Fourth Quarter Revenue Growth of 157% Full Year Revenues Growth of 121% over 2001

 http://biz.yahoo.com/prnews/030120/lnm006_1.html

13. A news from Ministry of Information Industry said: for year 2002, the mainly four Telecom careers market share are: China Mobile (37.4%), China Telecom (32.5%), China Netcom (16.6%), and China Unicom (12.1%). In 2002, they total finished income is 457.6 billion RMB.

 

http://tech.sina.com.cn/it/t/2003-01-24/0821162913.shtml

           Chinese version

14. By the end of 2002, China Unicom total has mobile users 68.17 million, include GSM users about 61.00 million and about CDMA users 7 million. In 2002, China Unicom total increase users 27.00 million.

http://tech.sina.com.cn/it/t/2003-01-24/1114163001.shtml

Chinese version.

15. China's Sina.com posts first ever quarterly profit

NEW YORK, Jan 27 (Reuters) - Sina.com (NasdaqNM:SINA - News) on Monday posted its first-ever, no-excuses quarterly profit of $1.5 million, the third of China's four publicly-listed dot-com Internet media companies to generate small quarterly profits.

http://biz.yahoo.com/rc/030127/tech_sina_earns_2.html

16. Jan 28, 2003. China Unicom’s CDMA X1 was be first used in Shanghai city. It means China Unicom’s CDMA enter 2.5G period. So now the Shanghai users will be the first to use China Unicom’s WAP, MMS, and Mobile camera take and send pictures. But for the whole nation, CDMA X1 will be used in March this year, that is a formal time.

           http://tech.sina.com.cn/it/t/2003-01-28/0815163453.shtml

          Chinese version

17. China "Little Smart" Users Exceed 12 Million By End-2002

BEIJING -(Dow Jones)- The number of subscribers in China to the discount mobile phone service known as Xiaolingtong, or "Little Smart", grew by 7.8 million during 2002 to exceed 12 million by the end of the year, an industry executive said Friday.

          http://biz.yahoo.com/djus/030124/0415000137_1.html

 

STUDY OF MEMESTAR

Memestar is a wireless service provider in its developing period. Company located in Guangzhou City (capital city of Guangdong province, it is beside Hong Kong and Shenzhen).

 

MeMeStar, also known as "Xunlong", is a leading independent mobile value-added service provider in China with two million monthly paying subscribers. The company has 160 employees with service coverage areas spanning over twenty provinces in China. MeMeStar has developed strong market presence in the prosperous Southern and Eastern provinces of Guangdong, Zhejiang and Jiansu, where the combined mobile user base exceeds 50% of the total China mobile user base. MeMeStar has consistently ranked in the top three mobile value-added service providers in terms of revenue and market share in these provinces.

 

Company website is; www.memestar.com and www.meme.com.cn. This company is a member of www.monternet.com. (The service website of China Mobile).

 

They have one Internet content product and six wireless content products.

 

One Internet content product is “Dating”, it is a community for the users to make friends, to date girls, to update your pictures, and also you can leave messages to BBS. You just need register, so you can use all the services. And you also can become the VIP, so you can use more special services, but you have to pay.

 

Wireless content product

  1. Mobile Dating. The service is that you register by your mobile, and then the company service center will send you other users #, so you can date with others, it is similar as the Internet dating service. You pay memestar 5 yuan per month, and you pay China mobile 0.1 yuan per message sending.
  2. Mobile pleasure ground. In this pleasure ground, those games include street fighting, lotto, auction, and play cards. You pay memestar 5 yuan per month.
  3. Mobile millionaire. It is mobile games that just need you answer many kinds of history, politic questions, and every right answer; you can get your credit. And the best player can get cash prize. You pay China mobile 0.1 yuan per message sending, and you pay memestar 0.1 yuan per message receiving.
  4. Mobile job hunting. You send your name,sex, age, education background and what job you want to memestar. Memestar will help you find the job you need in its database. You pay 0.3 yuan to memestar per message.
  5. Mobile RPG game. In this game, you can choose single player or play with others. You pay memestar 8 yuan per month, and you pay China mobile 0.1 yuan per message sending.
  6. Ringtone and Logo.

 

In its website said, there are already 3 million users had been used their services, and 600 million messages for their services.

STUDY OF CHINA MOBILE MARKET 2002

Ministry of Information Industry reported: In 2002, BIRD is still the NO 1 in all Chinese mobile phone Brands in selling. And BIRD was also the NO 1 in 2000 and 2001.

 

They also reported: In 2002, the first 11-month, in China market total sold mobile phones 61.34 million, the TOP 10 Mobile phone are:

NO 1: MOTOROLA   sold 16.61 million (27.1%)

NO 2: NOKIA             sold 10.49 million (17.1%)

NO 3: BIRD                sold 5.65 million (9.2%)

NO 4: TCL

NO 5: SIEMENS

NO 6: KEJIAN

NO 7: AMOISONIC

NO 8: ZET-ZHONGXING

NO 9: KONKA

NO 10: EASTCOM

 

Among the TOP 10 Mobile Brands, they are just three foreign brands: MOTOROLA, NOKIA and SIEMENS. This means in 2002, for Chinese mobile brands companies, it is a successful year. And even BIRD enters TOP 3.

 

Samsung is the NO 3 In the world already, but because Samsung just got the license to sell their Mobile phone in China on the second half year of 2002, and even before many Samsung were sold in China Market, but most them were smuggled. That is why Samsung did not enter the TOP 10.

 

And some website:

BIRD: www.chinabird.com

Eastcom: www.eastcom.com

 

News from: http://tech.sina.com.cn/roll/2003-01-16/1137161451.shtml

Chinese version

 

STUDY OF CNNIC 2nd half year of 2002 report

http://www.geocities.com/pinanxa/training/cnnic.htm

 

STUDY OF SOHU AND SINA profitable report

http://www.geocities.com/pinanxa/training/news0121.htm

http://www.geocities.com/pinanxa/training/news0128.htm

 

PRODUCT DEVELOPMENT

1.      I finished the personalized report pages in simplified version.

2.      Checked all the pages of simplified version from Suzanne. And I made a error report to her with other some my comments. And one error I report to you in my daily report.

3.      Chinese celebrities searching and design.

4.      Translated 4 new product pages.

BANNER REPORT

http://www.geocities.com/pinanxa/training/banners/banner.html

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