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 Friday, December 21, 2007

We have recently updated our forecasts for the Chinese market and like many of you we are following the prospective development of high-speed networks closely. Since Q1 2005, China has been growing at an average of 4%  quarter on quarter. Contrast this with a more mature market like the USA which has averaged 2% growth on a quarterly basis since Q3 last year. Today, China represents 40% of Asia Pacific cellular connections, and 16% of the World cellular connections. If the market follows the pattern we believe it will next year, it can add another 100 million connections and reach 46% market penetration in just 5 more quarters.

Figure 1: China: Cellular connections and market penetration

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