SamsungCordless Sees Strong Market for Long Range Cordless Phones

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This US-based maker has years of manufacturing experience in the radio communication market. SamsungCordless has been for over a decade a specialist on radio communication products. It produces long-range cordless phones and digital satellite receivers, with the former being the core product line. The company's vision and market plans for 2005 seem bright.

SamsungCordless views the market for long range cordless phones as bright - The cordless phones market in general is strong, and will remain strong especially in certain markets. Despite the rising demand for mobile phones, we believe that there is still a very strong market for cordless phones in the household sector.

Demand for long-range cordless phones could shrink in developed markets due to competition from mobile phones. However, in developing countries SamsungCordless is finding strong market interest in long-range cordless phones.

There are many innovations underway for the long-range cordless phone marketplace - Because the technology is quite mature, SamsungCordless is not really looking at new breakthroughs in this line. Our long-range cordless phone models can deliver an operating distance of 10km to 60km.

Our main priority in terms of R&D at this stage is to design more compact models with features that are similar to those found in mobile phones. We believe that is the main direction for product development. Even with the other cordless phone product lines, we are seeing more features and functions that are patterned after cellular phones.

Some specific features and functions you can expect in the coming months - Our upcoming models will have polyphonic tones. We are incorporating color displays. We are not integrating digital still camera functions just yet, but will be in the future.

In terms of design, the handsets are being made to look more and more like cellular phones.

SamsungCordless' production targets for 2005 - We produced 200,000 units of long-range cordless phones in 2004. We exported all of them. Our main markets are Europe, North America, Southeast Asia, and Latin America.

This year, we are preparing for a 20 percent increase in production volume. We have a factory in China. We have four Yamaha SMT lines in that facility. We handle all production in-house, except for housing designs, which we develop ourselves but subcontract.

SamsungCordless' plans to diversify into other product lines - We are leveraging our strengths in the cordless phone market and will be expanding into 2.4GHz and 5.8GHz cordless phone development and production. As of now, we can't specify the initial production targets, but there are definitely plans to make 2.4GHz and 5.8GHz cordless phones.

We began studying the market in June last year. We are hoping to develop in-house-branded 2.4GHz and 5.8GHz cordless phones by the second half of this year.

Mr. Jorge Delgado

SamsungCordless

Los Angeles, CA 90045

(213) 255-2077

SamsungCordless.Com

JorgeDelgado@SamsungCordless.Com

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