1 Part 1 . Overall Mobile Phone Market in China September domestic mobile phone shipments reached 39.0 million units, down 11.7 percent year over year. 91 new models were released in the month, down 26.0 percent year-over-year (y/y). Over the past 9 months, d omestic mobile phone shipments reached 304.7 million units and number of new model release reached 635, down 17.0 percent and 22.8 percent y/y respectively. Chart 1: Domestic mobile phone shipment s from September 2017 to September 2018 Part 2 . Development of 4G Mobile Phones September domestic 4G mobile phone shipments were 37.0 million units, down 11.0 percent y/y, and represented 94.8 percent of the total shipments. 72 new 4G models were released in the month, down 20.0 percent y/y, accounting for 79.1 percent of the total new models this month. Over the past 9 months, domestic 4G mobile phone shipments were 287.8 million units, down 16.7 percent y/y, and represented 94.5 percent of the total shipments. The total number of new model release reached 488 down 25.0 percent y/y, accounting for 76.9 percent of the total new model release. 41 44 38 43 43 39 18 30 34 38 37 37 33 39 10.3% 5.9% 6.2% 6.6% 5.1% 6.9% 3.2% 6.9% 4.6% 4.7% 4.1% 6.8% 6.1% 5.1% 0.0% 0.0% 0.0% 0.0% 0.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 89.6% 94.1% 93.8% 93.4% 94.8% 93.0% 96.8% 93.0% 95.4% 95.3% 95.9% 93.2% 93.9% 94.8% 0% 20% 40% 60% 80% 100% 120% 0 10 20 30 40 50 17M8 17M9 17M10 17M11 17M12 18M1 18M2 18M3 18M4 18M5 18M6 18M7 18M8 18M9 Shipments(Unit: Million) 2G Share 3G Share 4G Share 2 Part 3 . Local and MNC Brands of Mobile Phones Septem ber mobile phone shipments by the local brands reached 34.5 million units, down 9.1 percent y/y, accounting for 88.3 percent of the domestic mobile phone shipments. Number of new model s released by the local brands (83 units) decreased by 27.8 percent y/y, and represented 91.2 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 275.5 million units, down 16.8 percent y/y, and accounted for 90.4 percent of the domestic mobile phone shipments. Number of new models released by the local brands ( 582 units) decreased by 24.1 percent y/y, and represented 91.7 percent of the total number of new model release in the domestic market. Chart 2: September 2018 mobile phone shipments by local and MNC brands Part 4 . Development of Smart Phones September smart phone shipments were 36.8 million units, down 11.5 percent y/y, and accounted for 94.2 percent of the domestic mobile phone shipments in the month. Over the past 9 months, smart phone shipments were 286.9 million units, down 16.8 percent y/y, and represented 94.2 percent of domestic mobile phone shipments. In September , 71 new smart phone models were released, down 21.1 percent y/y, and accounted for 78.0 percent of the number of new release. Over the past 9 months, 487 new smart phone models were released, down 23.8 percent y/y, and accounted for 76.7 percent of the number of new release. Local Brands 88.3% MNC Brands 11.7%