While there have been many 4G smartphones for sale at retail prices of CNY1,000 (US$163) or below in the China market, China-based vendors including Coolpad and Lenovo are expected to launch models for sale at CNY500 or below by the end of 2014, according to president He Ning for China Mobile Device, a wholly-owned subsidiary of China Mobile.

4G smartphones priced at up to CNY500 will be mainly support TD-LTE, TD-SCDMA and GSM, with chip solutions to be provided by Taiwan-based MediaTek, He said. As China Mobile focuses marketing of 4G smartphones on models supporting TD-LTE, FDD LTE, TD-SCDMA, WCDMA and GSM, 3-mode models will mainly meet the large demand from users in rural areas, He noted.

Retail prices for 4G smartphones in the China market might drop to CNY300 in 2015 but are unlikely to fall any lower level, He indicated.

China Mobile Device sold 12 million TD-SCDMA smartphones and 6.5 million TD-LTE units in July 2014 and expects to sell about 12 million 3G units a month beginning August, He said. In comparison, monthly sales of 4G smartphones may continually increase to nearly 10 million units, He noted.

Of 4G smartphones so far sold through China Mobile, two models were released under China Mobile's own brand with cumulative sales of about one million units, He said.