SIM TECHNOLOGY GROUP LIMITED BACKGROUND INFORMATION

Listed on the Stock Exchange of Hong Kong (stock code: 2000), SIM Technology Group Limited is an investments holding company, its subsidiaries which include Shanghai Simcom, Shanghai Speedcomm and several other companies are the leading mobile handset and wireless communication developers in China. It leads the mobile handset design market in terms of sales and net profit in both 2005 and 2006.

SIM Tech’s three handset R&D subsidiaries, Shanghai Simcom, Shanghai Speedcomm, and Shanghai Basecom focus on the design and development of mobile handset. With world-class design teams comprising experienced and professional engineers boasting mastery of latest technologies for handset development and mobile communications, the Group is able to turn out over 200 mobile handset solutions with advanced features and fashionable industrial design each year. These mobile handset solutions are used by not only leading domestic mobile handset brand owners but also some famous multinational handset manufacturers.

Another subsidiary of the Group SIMCom Wireless Solutions is in the business of supplying GPRS/EDGE, WCDMA/HSDPA and TD-SCDMA technology-based wireless communication modules and their application solutions. In 2006, SIMCom Wireless Solutions ranked first in China and third in the world in terms of total output of the said products.

The Group has also injected tremendous capital and R&D efforts into designing and developing 3G and 3.5G technologies including TD-SCDMA, WCDMA/HSDPA and WiFi dual mode mobile communication products, giving it leadership in the area in the domestic market. SIM Tech is devoted to contributing to a brighter future of the information technology sector in China. In addition to continuing to consolidate its market leadership in China, SIM Tech is dedicated to expanding its international market and becoming a global player in the mobile handset and smart phone solution market.

SIM Tech was among the “Deloitte Technology Fast 50 China” for three years successively (2005-2007). It was selected as a constituent of the Morgan Stanley Capital International (MSCI), Hong Kong Small Cap Index Series shortly after listing in Hong Kong in 2005.