Tokyo and Beijing, January 13, 2005-NEC Corporation announced that NEC Telecommunications (China) opened its first exclusive mobile phone retail store in Beijing on January 12th.
Ben Nakamura, NEC's Senior Vice President and member of the board commented at the opening ceremony: "China has the world's largest consumer population and we are sure that NEC Telecom China will continue to drive success in this largest telecommunications market."

In addition to this Beijing store, NEC Telecom China has also opened another exclusive store in Guangzhou selling NEC mobile phones exclusively. The company is planning to open 10 more exclusive stores by the end of 2005.

In August 2004, NEC Telecom China introduced a new branding strategy "Get Personal" to further expand its mobile business in China. "Get Personal" is a branding platform to help NEC increase its awareness in the telecom arena and build brand loyalty in China. NEC Telecom China is aiming to position the company as the most creative, leading mobile solutions company in China. The branding Campaign is the latest challenge regarding current brand perception is to create a unique, human and user-friendly image, showing NEC`s deeper level of communication with consumers by defining ourselves as a "people company, which proactively reaches out to customers to gain knowledge about their needs in China. Apart from NEC exclusive stores, NEC Telecom China has opened around 2000 branded retail outlets last year. NEC Telecom China has begun to redesign these stores under its concept of branding campaign "Get Personal". Around 1200 branded retail outlets in 210 cities of China will be redesigned by the Chinese New Year (Mid February) and others within the first half of 2005.

As a result of the ongoing branding campaign and other key business initiatives since the founding of the new NEC Telecommunications company, business is certainly picking up: (Source; SINO) -NEC mobile phone brand awareness grew significantly from 56.1% to 63% in key cities and brand appreciation score increased from 34% to 50%; -NEC mobile phone market share ranking rose up to No. 11 as of December of 2004 from the one of No. 23 in August, 2004.
-There was a record product shipment in the fourth quarter of 2004, which was over four times of the total shipment of the first quarter of 2004.

"Going forward, NEC Telecom China will continue to drive business growth. We plan to launch more than 30 new 2.5G products in 2005 and get fully prepared to enter into the 3G era in the China market. "Said Brian Lu, President of NEC Telecommunications (China).

About NEC Telecommunications (China)
NEC Telecommunications (China) is a company and also a business entity that promotes mobile internet and 3rd generation (3G) mobile solutions business. The company plays a key role in leading NEC's global SCM of mobile business; promoting local development and branding and, at the same time, pursuing further cooperation with mobile operators to develop the most appropriate solutions that are in line with the development of the mobile industry. NEC's leading position in mobile Internet technologies and high- value-added mobile Internet terminals in Japan and other parts of the world has given the company an edge for its rapid business expansion in China. Under the leadership of President Lu, the new structure will further introduce its total mobile solutions to China, ranging from 2.5G and 3G mobile terminals to total mobile network infrastructure systems, mobile application platforms, telecom software, and other advanced technologies.

About NEC's Mobile Business
NEC is a total solution provider for 3G and mobile Internet. It has been involved in every first-stage rollout of 3G systems worldwide. It is also responsible for developing the first 3G handsets for the world's first 3G networks. NEC has competence in the mobile Internet field with its mobile infrastructure system, mobile application platform and its impressive portfolio of contents. NEC's mobile handsets are known for their prominent technologies including large color screens, built-in cameras and other functions that make them ideal for use in the mobile Internet.

About NEC's Business Development in China
NEC has been involved in businesses in China for more than 30 years, contributing to the deployment of most telecommunications infrastructures such as public switching systems, optical transmission systems, microwave systems, broadcasting infrastructure systems and enterprise communication systems. It has also pursued technology transfer to local joint venture partners. Currently, NEC is focusing on computers and communications software development, semiconductor design, system integrations and basic research and development activities by cooperating and mutually leveraging competences among Japanese and Chinese engineers. In every aspect of NEC's business management, China has become an important market.

Media Contact:
Akiko Shikimori
NEC Corporation
Tel: 81-3-3798-6511