opens Global R&D Center in Shanghai to develop ultra low cost
PHILIPS OPENS GLOBAL R&D CENTER
IN SHANGHAI TO DEVELOP ULTRA LOW COST MOBILES
SHANGHAI, CHINA - Royal Philips Electronics (NYSE: PHG, AEX: PHI) on the occasion of the Board of Management’s 3rd visit to China in the past 3 years, today announced the opening of the ULC Design Center in Shanghai as a further step in the execution of its China growth strategy. This new global R&D center will be focused on enabling handset manufacturers to develop ultra low-cost (ULC) phones with Nexperia™ Cellular System Solutions for emerging markets. The decision is part of an overall initiative to address the growing consumer demand for low-cost mobile communications in China, India, Africa, South America and Eastern Europe to drive down total handset costs below $15 by 2008.
This ULC Design Center will drive Philips ultra-low cost activities in China, working closely with its existing European design facilities and the Bangalore-based Innovation Campus to contribute towards dramatically reducing costs and bringing handsets to the consumer, manufactured at sub-$20. This initiative responds to growing consumer spending in rural China, and plans to offer them affordable access to mobile telephony in order to bridge the digital divide.
"According to studies by the World Bank, 77 percent of the world's population lives within range of a mobile phone network, but only 25 percent of us subscribe to a mobile phone service," said Gerard Kleisterlee, President and CEO, Royal Philips Electronics. "By offering mobile manufacturers an ultra low-cost Nexperia Cellular System Solution, we are bringing affordable access to wireless communications for an untapped global consumer base of 3.3 billion people in key markets such as rural China."
The first commercially available ultra
low-cost handsets based on the Nexperia™ Cellular
System Solution will offer voice, SMS and basic multimedia
with a black and white screen, providing the basic functionality
and low cost desired by new subscribers in emerging mobile
Nexperia is a trademark of Koninklijke Philips Electronics N.V.
About Royal Philips Electronics
Source : Royal Philips Electronics