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Companies target China's cell phone users

FIRMS are seeking opportunities to provide content for more than 700 million Chinese mobile phones, which has the most users in the world, industry insiders said.

Big names, from China Mobile, Shanda, 3G.cn to Nokia, aim to generate revenue through reading, video, music and games for Chinese mobile users.

China Mobile, the world's No. 1 mobile carrier, lately teamed up with Shanda Literature, a subsidy of Shanda Corporation, and the Shanghai Pavilion of the World Expo 2010 China, to provide readers with the latest information as well as literary pieces focused on Shanghai culture.

Viewers who get access to the "Expo" sector on the mobile reading platform don't have to pay connection fees and subscription fees. Elsewhere, monthly fees are 3 yuan to 5 yuan or 2 to 10 yuan a piece.

China Mobile now has over 20 million registered users for its online reading service, with about 1 million users each day.

"Users will become more willing to pay for online reading materials and creative fictions and content providers' business model will be more mature," said Fang Li, an analyst with research firm Analysys International. "Operating income from the sector is expected to reach 588 million yuan in 2010."

China Internet Network Information Center said in its latest report that user base for online reading reached 162 million, or 42.3 percent out of the total number of Chinese net users, by the end of 2009.

"We hope to become biggest content provider for online fictions and cope with mobile phone makers and other equipment providers to attract more users," said Liang Xiaodong, chief financial officer of Shanda Literature.

China's mobile Internet traffic is expected to surpass that of traffic on computers, according to Zhang Xiangdong, president of 3G.cn.


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