Mainland China is a major manufacturing base for mobile phones, contributing more than 35 percent to the worldwide handset supply. Although mainland makers have been positioning their products at the low end markets since early 2000, there is now a marked shift toward advanced mobile phone technologies.

Taiwan makers have been actively engaged in OEM and ODM partnerships with international mobile phone companies. Some of the key trends observed in Greater China's 2.5G and 3G phone industries are:
- GPRS continues to be the leading technology for 2.5G phones from mainland China and Taiwan in 2006, despite EDGE's popularity. 2.5G phone supply in 2005 was dominated by multimedia handsets featuring EMS, MMS, MP3 playback, expanded memory, large displays and high-resolution cameras
- In the 3G space, W-CDMA mobile phones are dominating supply in both Taiwan and mainland China. Several companies have the capability to develop products using any of the three 3G standards-W-CDMA, CDMA 2000 and TD-SCDMA.
- The mainland China government's announcement in January of its support for TD-SCDMA is expected to fast-track the release of 3G licenses on the mainland. This is expected to increase production of TD-SCDMA handsets for both the domestic and overseas markets.
- Prices are projected to drop in 2006. Any potential increase in prices would be due to the increase in production costs resulting from RoHS and WEEE compliance.
- Makers see a potential shortage in the supply of SoCs and thus, a corresponding increase in prices.

This report covers 11 mainland China-based companies and 13 Taiwan-based companies, representing 26 percent and 87 percent of their respective supply markets.
In this Report
- 20 In-depth supplier profiles
- 4 Supplier tables
- Product gallery of 2.5 and 3G phones
- Supplier index