Wed, Feb. 25, 12:43 PM
- As of 2012, Cisco (CSCO -0.9%) had 60 products on a Chinese government list of products approved for purchase by state entities. As of late 2014, it had none, according to Reuters' analysis of government data.
- PC/server virtualization software vendor Citrix (CTXS +0.5%) has also seen its products disappear from the list, as have Apple (NASDAQ:AAPL) and Intel's (NASDAQ:INTC) McAfee security software unit. While the total number of products on the list has risen by over 2K since 2012 (to nearly 5K), the number of approved foreign tech brands has fallen by a third.
- The data highlights the ripple effects of the 2013 NSA spying uproar, as well as China's broader interest in promoting local tech firms relative to foreign suppliers. Bloomberg reported in December the Chinese government is "aiming to purge most foreign technology from banks, the military, state-owned enterprises and key government agencies by 2020."
- Cisco's Chinese sales have already been under heavy pressure for several quarters. Thanks in part to the government's efforts, the networking giant's Chinese orders fell 19% Y/Y in the January quarter, compared with just a 1% drop for other Asia-Pac markets.
- Lenovo (OTCPK:LNVGY), ZTE (OTCPK:ZTCOY), and Huawei are among the local firms likely to benefit from the government's attempts to buy local.
Dec. 29, 2013, 3:45 AM
- Huawei Technologies and ZTE Corp. (ZTCOF), which make Android and Windows phones, have reportedly asked China's Ministry of Commerce to make sure Microsoft's (MSFT) acquisition of Nokia's (NOK) mobile-handset unit won't lead to increased patent-licensing fees.
- When the EU approved the deal earlier this month, it said it would monitor Nokia's licensing practices.
Aug. 20, 2013, 11:19 AM
- ZTE (ZTCOF.PK +7.6%) plans to reorganize its handset business to better align it with the proliferation of smart terminals in China. A dedicated R&D team will be carved out. The Marketing and R&D groups will also be more closely linked.
- Director of Handset Strategy Lv Qianhao stated that ZTE is targeting handset sales to reach 50% of company revenue in 3 years' time, up from 30% currently. According to Qianhao, ZTE met its targets in H1 and is on track to ship 45M units in 2013.
- As part of the push, ZTE will open 1,000 brand stores in major retail locations around the country in 2013.
- The new strategy comes as ZTE struggles in its core network infrastructure business, where profits have dwindled.
Oct. 15, 2012, 3:29 AMZTE shares plunge 15.1% in Hong Kong after China's second-largest telecom-equipment maker warns that it will make a Q3 loss of up to 2B yuan ($319.1M). ZTE blames a delay in some overseas deals and a large number of low-margin contracts in Europe, Asia and the domestic market. U.S.-listed shares on watch include ALU (-1.7% in Paris), ERIC (-0.85% in Stockholm), CSCO, JNPR,CIEN, MMI, BBND. (PR) | Oct. 15, 2012, 3:29 AM | Comment!
Jul. 16, 2012, 3:06 AMDespite hopes of additional stimulus, Chinese stocks fell heavily on earnings concerns; benchmark index -1.8%. In particular, ZTE Corp., China's second-largest telecom maker, fell by the daily trading limit of 10% after warning H1 profits may have declined as much as 80%. | Jul. 16, 2012, 3:06 AM | 1 Comment
Feb. 21, 2012, 4:23 AMReliance Communications is reportedly in talks with four companies about a possible $3B contract to manage its mobile phone networks, with a finalized contract expected in the next six weeks. The four companies are said to be Ericsson (ERIC), Alcatel-Lucent (ALU), ZTE Corp. and Huawei Technologies. | Feb. 21, 2012, 4:23 AM | Comment!
Jan. 18, 2012, 3:52 AMSamsung may not be interested in buying Research In Motion (RIMM), but RIM could still be an attractive target to other Asian smartphone makers looking for a way to better compete against Android. Possible suitors include LG Electronics (LGEAF.PK), HTC and ZTE, which don't have their own platforms. | Jan. 18, 2012, 3:52 AM | Comment!
Nov. 18, 2011, 4:33 AMThe House's intelligence committee will investigate security threats posed by Chinese telecom infrastructure companies such as Huawei and ZTE (ZTCOF.PK). With concerns intensifying about China's cyber espionage, panel Chairman Mike Rogers warned U.S. firms not to use Huawei "until we can fully determine their motives." | Nov. 18, 2011, 4:33 AM | Comment!
Aug. 30, 2011, 9:48 AMFrance's Bull and China's ZTE (ZTCOF.PK) are among the foreign firms that provided equipment for Libya's internal spying ops, the WSJ reports. Boeing's (BA) Narus held talks with the regime shortly before the uprising but backed out on concerns about its reputation. | Aug. 30, 2011, 9:48 AM | Comment!
Feb. 14, 2011, 8:30 AM
Dec. 2, 2010, 12:57 PMNomura Securities initiates coverage of Motorola (MOT) and Research in Motion (RIMM) with a Reduce rating and Neutral rating, respectively. In the smartphone wars, Nomura claims Motorola will be squeezed by Apple (AAPL) in the U.S. And RIM is losing market share rapidly, and probably will be hammered on margins, too. | Dec. 2, 2010, 12:57 PM | 1 Comment
Jan. 26, 2010, 5:28 PM
ZTCOF vs. ETF Alternatives
ZTE Corporation is a leading global provider of telecommunications equipment and network solutions. Through its network of operators across 140 countries, the company delivers innovative products and business solutions. It connects global customers via voice, data, multimedia and WLAN. Founded... More
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