Hi, Drew,Posted this on T. but thought I would also do on HC as...

Hi, Drew,

Posted this on T. but thought I would also do on HC as there are some MCL followers who may be interested in this excerpt which I have taken from the regular report I get from Small Cap Investor Daily...

While they talk about a different company, I thought the China info is relevant to us as MCL is forging ahead with the China move ...

"Comtech Group, Inc.: The talk of China

Richard Brandt | Oct 15, 2007 6:20am EDT | User Rating N/A

When people in China talk to each other, they use cell phones—a lot. According to the Chinese Ministry of Information Industry (MII), 487 million people were using mobile phones by April of this year, 100 million more than the number of people using fixed lines. The market is growing by 60 million new subscribers a year; 20% of owners replace their phones each year.

That has given a huge boost to Comtech Group, Inc. (Nasdaq: COGO), a Shenzen-based electronics module supplier to cell phone makers and other Chinese electronic equipment makers. In the second quarter, the company’s pro-forma net income was up 53% from a year earlier to $6.06 million, on revenues up 22% to $50.6 million.

As a result, the company’s stock has been hotter than Fergie ringtone downloads in the last couple months. From a 52-week low of $13.45 in early August, it hit a high of $21.85 on Oct. 11. The market cap of this company is now pushing the definition of “small,” having recently risen to just over $800 million.

Six out of seven analysts following the company have “buy” recommendations. One reason for continued optimism is that in 2008, China plans to begin rolling out a 3rd-generation wireless system and Comtech has been developing modules to feed the appetite of this fast, internet-enabled system. A May report by Roth Capital Partners notes that the company is “well-positioned to benefit from China’s 3G rollout and continued strength in China’s core electronics markets.”


And, what is M2M business???

Development and expansion of the Broadband telephony telecommunication business...

BINGO!

....Note the VOLUME of usage in China, where we are next headed, and more to the point the Key Message : CHINA PLANS TO BEGIN ROLLING OUT A 3RD GENERATION WIRELESS SYSTEM" & "TO FEED THE APPETITE OF THIS FAST INTERNET-ENABLED SYSTEM"...

Once M2M is in China, the mind boggles on what this will do to our revenue and bottom line feeding on this ravenous usage .. Is there any wonder M2M have been focussing their efforts to make inroads there.... Never mind Taiwan and Malaysia - they will be just the cream to the top.. LOL