China Mobile and HTC have signed a TD-SCDMA terminal cooperative memorandum in Taiwan to jointly develop 3G handsets.

Under the memorandum, the two parties will set up a long-term partnership and cooperation in technical research, product development, market research, and customer service.

According to Wang Jianzhou, chairman and CEO of China Mobile, the cooperation between the two parties will focus on three aspects. First, they will jointly develop 3G handsets. China Mobile plans to invest CNY47 million to launch at least seven new styles of mobile phones before 2010. Second, for mobile phone operating systems, the two companies have designed and produced one new mobile phone product, which will be launched soon. Third, the two will jointly promote the LTE technology.

Wang added that China Mobile's TD-SCDMA system is a business opportunity for all and the company is glad to cooperate with manufacturers in Taiwan to achieve a win-win situation.