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July 29, 2011

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Alibaba teams with K-touch on new phone

ALIBABA Group has teamed up with mobile phone maker K-touch to launch a new smartphone model with an operating system to bring more e-commerce applications to China's growing number of mobile Internet users.

It has joined other Internet giants, including Baidu and Tencent, in developing its own operating system to tap growth potential in the market.

The smartphone is equipped with Alibaba's cloud computing operating system, which is based on Google's Android. It allows users to have as much as 100G of online storage space and have access to basic applications such as maps, search and e-mail without downloading the applications to their handsets.

The new operating system will be equipped with Taobao's price-comparing widgets and will also be pre-installed with other social networking applications.

"We're working towards an open platform that will conveniently bring Internet-based services to handset users," said Wang Jian, president of Alibaba Cloud Computing.

The smartphone will be priced at about 2,680 yuan (US$412).

Alibaba Cloud Computing is a wholly owned unit of Alibaba Group with the aim of building an advanced data-centric cloud computing service platform.

The company is also in talks with other handset makers about pre-installing the operating system on their phones.

Sales of 3G handsets climbed 27.3 percent from that of last quarter to 24.3 million units, according to research house Analysys International. China now has 318 million mobile Internet users, or more than 65 percent of the 485 million overall Internet user base.

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