ZTERanked Second Worldw ide for International Patent Applications

ZTEannounced on February 11 that,according to the World Intellectual Property Organization(WIPO),it had leapt from 23rd place in 2009 to second place in 2011 in terms of the number of internationalpatent applications submitted.This follows a significant jump in the overall number of international patent applications from China,now the world's fourth largest submitter of patent applications.

As of December 31,2010,ZTEhad 1,863 international patent applications registered with WIPO.

According to official data from WIPO,the number of Patent Cooperation Treaty(PCT)applications submitted by ZTEhas leapfrogged for five years in a row.Since 2006,when ZTE's PCTranking entered the top 100 for the first time,its annual ranking has jumped from 52nd in 2007 to second place in 2010.ZTE's global competitiveness has also been growing proportionally,with the percentage of overseas revenue increasing from 44%in 2006 to 57.8%in 2007and 60%in 2008.

Despite the global economic slowdown over the past two years,ZTEhas still realized steady growth—global revenue from principal operations reached RMB 70.3 billion in 2010 and has increased 16.69%year-on-year.

ZTEhas a standard practice of investing 10%of its income into R&D,including the development of its international patent strategy.Even during the financial crisis,ZTEdid not reduce R&D spending.Total R&D spending in these two years reached RMB 13 billion.WIPO noted that due to the financialcrisis and a decline in R&D spending,European and North American countries did not perform well in terms of patent applications.The number of internationalpatent applications from the U.S.and UK has been in decline for three consecutive years.In comparison,the number of international patent applications from China has grown by 30%and 56%over the past two years respectively.This is faster than any other country in the world.