NEC founds China division

Japanese telecom giant NEC said Tuesday that it has finished reorganizing its telecom business in China to found NEC Telecommunications (China), headquartered in Beijing.

The new company grew out of the restructuring of NEC's telecom manufacturing, marketing, service and maintenance operations in China. It has integrated NEC companies in north China's Tianjin municipality and central China's Wuhan city and will merge the other two in northwest China's Xi'an city and south China's Guilincity within this year.

"With a subscriber base of 270 million, China is one of NEC's most important markets where NEC can demonstrate its full competence in mobile Internet and 3G," said Tsutomu Nakamura, senior vice president and head of NEC's mobile business unit.

Compared with its rivals Nokia and Motorola, NEC has been seen as lagging behind on the Chinese market due to an obscure development strategy and dispersed resources.

Brian Lu, former vice president and general manager of MotorolaPCS China Division, was appointed as head of the new company.