Motorola Invests in China 624829

Motorola invests in Shanghai NewMargin, Shenzhen Shenxun Information Technology Development (SXIT), and Legend Silicon

March 16, 2006

2 Min Read

BEIJING -- Motorola, Inc. (NYSE:MOT) today announced in China three new investments. With these new investments, Motorola hopes to continue exploring opportunities and growing our investing momentum further in China.

Through Motorola Ventures, the venture capital arm of Motorola, the global telecom giant has invested in Shanghai NewMargin Venture Capital Enterprise (Shanghai NewMargin), Shenzhen Shenxun Information Technology Development Co. Ltd. (SXIT) and Legend Silicon Corp., parent company of Legend Silicon Beijing (Legend Silicon). These investments are indicative of Motorola's continuing commitment to the China market.

"China is of continuing strategic importance to Motorola. Besides shoring up strength in mobile devices and network infrastructure, Motorola is branching out to new businesses that can help provide seamless mobility solutions to our customers in China," said Warren Holtsberg, corporate vice president, Equity Investing, Motorola.

Motorola has become one of the largest investors of Shanghai NewMargin Venture Capital Enterprise, originally established with a US$35-million private equity fund. The VC company will continue to focus on high-tech companies, high-growth or high-potential companies in China.

Motorola has also formed strategic cooperation with SXIT while making a significant investment in its parent company -- China Internet Technology and Service Ltd. Besides, Motorola will cooperate with SXIT on both platform and applications such as LBS and enterprise solutions.

Through this cooperation, Motorola expects to increase its ability to provide customers with unique and customized services, including enterprise solutions, A-GPS, LBS, MMS, 3G applications, content, and client applications.

The alliance between Motorola and Legend Silicon focuses on the design, development, and manufacturing of demodulator chips for the emerging mobile TV businesses. With mobile TV being seen as the 'Next Big Thing' in the 3G era, this investment is expected to help Motorola gain a strong foothold in the mobile TV industry in China, which is widely expected to be one of the leading players in the 3G market.

Motorola Inc. (NYSE: MOT)

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