Sim Technology Group, a handset design house based in Shanghai, is planning to increase its investments in the development of 3G handsets and the expansion of its LCD production capacity. The Shanghai-based mobile handset design company said it will expand its R&D and to address the growing 3G handset market. It has already started development of 3G handsets based on the TD-SCDMA (Time Division Synchronous-Code Division Multiple Access) standard. Also, Sim is working on mobile phones which use Edge technology.

 

About two million Sim-designed handsets were sold worldwide in 2004, according to the company, generating more than US$200 million in revenue. Sim reported a net profit of US$25.5 million in 2004.

 

Sim is also making plans to increase investments in its LCD module production capacity. Because the LCD module is one of the most expensive components of a handset, the company decided to take production of these modules into its own hands in order to control costs. Output will also be sold to third parties.