Japanese NEC recently announced that it will dismiss its subsidiary Changsha NEC Telecommunications in China. The company is scheduled to begin asset liquidation in October 2008, according to a report by China Business News on January 2, 2008.

Changsha NEC Telecommunications was founded in December 2005 as part of NEC's 3G telecommunications deployment in China. Due to the fact that no specific timeframe exists for the commencement of 3G telecommunications service in China, NEC decided to close the Changsha subsidiary. NEC is expected to develop related business based on its existing Chinese units when 3G service becomes available in China.