Mobile tech spurring innovation in China(2)

China Mobile Communications Corp, the biggest telecom carrier in the country and Alibaba Group Holding Ltd, the world's largest e-commerce player, are pushing mobility innovation in China.

Smartphones, tablets and wearable devices are the most popular mobile products in China and lower prices for these products is driving the adoption rate growth.

According to Xu Hao, a researcher at Beijing-based consultancy Analysys International, the mainstream price range for smartphones sold in China are around 1,000 to 2,000 yuan ($322.58).

With consumers of the 1,000-yuan handsets using the fourth-generation telecom technology pouring into the market, the smartphone generation rate is set to increase this year although at a lower pace, said Xu.

"As we look ahead to the fifth generation networks and beyond－which promise to deliver more bandwidth and higher data rates, support the Internet of Things, and dramatically increase the number of connected devices－we anticipate a reinvention of communication, content, and services on a global scale, said the BCG report.

Local players see mobile Internet as the next big thing after the online shopping spree in China.

After gaining an upper hand in the smartphone market, Xiaomi Corp, Lenovo and a number of other smaller vendors have launched their own wearable devices such as step counting bands and smart glasses to command a bigger presence in the mobile sector.

Overseas wearable device makers are also holding high exceptions for the Chinese market. Fitbit Inc, a US-based maker of personal activity trackers, has already launched its latest flagship wearable in China.

Yolanda Chan, Asian Pacific president at Fitbit, said: "China is a large market with huge demand (for our products) and we are partnering with local online shopping sites to ensure that more products reach customers in the country."

According to Xu from Analysys International, the wearable device segment will witness intense competition as public awareness and demand for such products grows.

"There are definitely more people buying wearables, but a growing number of companies are also entering the fray. Because the market is sill at an early stage, not every one will get what they want in the short term," he said.