Lucent Technologies plans to invest US$50 million to US$100 million in PAS (Personal Access Phone System), also called Xiao Lingtong. The decision marks Lucent's readjusted strategy for China, hoping to consolidate its footing on the PAS handset market while continuing to cultivate the network equipment market. The PAS business, including handsets and equipment, currently accounts for 30% to 40% of Lucent's total annual revenue in China.

 

In the future, Lucent will also expand into GSM (Global System for Mobile Communications), CDMA (Code Division Multiple Access), and even the 3G handsets segments.

 

Earlier, the company secured a deal with China Unicom worth US$107 million for CDMA network expansion. Lucent will be supplying its CDMA2000 solutions to enhance the coverage and capacity of networks in the Chinese operator's three provincial subsidiaries.