1 Part 1 . Overall Mobile Phone M arket in China April domestic mobile phone shipments reached 34.3 million units, down 16.7 percent year over year. 55 new models were released in the month, down 53.8 percent year-over-year (y/y). Over the past 4 months, d omestic mobile phone shipments reached 121.6 million units and number of new model release reached 261, down 23.7 percent and 24.1 percent y/y respectively. Chart 1: Domestic mobile phone shipment s from April 2017 to April 2018 Part 2 . Development of 4G Mobile Phone s April domestic 4G mobile phone shipments were 32.7 million units, down 15.8 percent y/y, and represented 95.4 percent of the total shipments. 43 new 4G models were released in the month, down 54.3 percent y/y, accounting for 78.2 percent of the total new models this month. Over the past 4 months , domestic 4G mobile phone shipments were 114.6 million units, down 24.2 percent y/y, and represented 94.3 percent of the total shipments. The total number of new model release reached 199, down 29.7 percent y/y, accounting for 76.2 percent of the total new model release. Of the total 4G mobile phone shipments this month, 95.6 percent of which were all networks supported, and 99.2%, 99.0%, 98.4%, 96.5% of the 4G mobile phones shipped supported FDD LTE, TD -SCDMA, WCDMA , cdma2000 network, respectively. 41 37 42 43 41 44 38 43 43 39 18 30 34 5.4% 4.9% 5.1% 5.1% 10.3% 5.9% 6.2% 6.6% 5.1% 6.9% 3.2% 6.9% 4.6% 0.3% 0.2% 0.0% 0.1% 0.0% 0.0% 0.0% 0.0% 0.1% 0.0% 0.0% 0.0% 0.0% 94.3% 94.9% 94.8% 94.8% 89.6% 94.1% 93.8% 93.4% 94.8% 93.0% 96.8% 93.0% 95.4% 0%50%100%150% 01020304050 17M4 17M5 17M6 17M7 17M8 17M9 17M10 17M11 17M12 18M1 18M2 18M3 18M4 Shipments(Unit: Million) 2G Share 3G Share 4G Share 2 Part 3 . Local and MNC Brands of Mobile Phones April mobile phone shipments by the local brands reached 31.6 million units, down 17.7 percent y/y, accounting for 92.4 percent of the domestic mobile phone shipments. Number of new model s release d by the local brands (52 units) decreased by 53.2 percent y/y, and represented 94.5 percent of the total number of new model release in the month. Mobile phone shipment volume for year 201 8 by the local brands reached 107.5 million units, down 25.1 percent y/y, and accounted for 88.4 percent of the domestic mobile phone shipments. Number of new models released by the local brands ( 242 units) decreased by 25.3 percent y/y, and represented 92.7 percent of the total number of new model release in the domestic market. Chart 2: April 2018 mobile phone shipments by local and MNC brands Part 4 . Development of Smart Phones April smart phone shipments were 32.7 million units, down 15.3 percent y/y, and accounted for 95.4 percent of the domestic mobile phone shipments in the month. Over the past 4 months, smart phone shipments were 114.5 million units, down 24.0 percent y/y, and represented 94.2 percent of domestic mobile phone shipments. In April, 43 new smart phone models were released, down 53.3 percent y/y, and accounted for 78.2 percent of the number of new release. Over the past 4 months, 201 new smart phone models were released, down 27.7 percent y/y, and accounted for 77.0 percent of the number of new release. Local Brands 92.4% MNC Brands 7.6%

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