CHINA Mobile, one of the nation's three mobile operators, is to provide 600 million yuan (US$88.24 million) to support the research and development of terminal devices for TD-SCDMA, the domestically-developed 3G standard.

According to a cooperation agreement the telco signed with nine mobile phone manufacturers and three chipset producers yesterday, the two sides would pour 1.2 billion yuan into the R&D project.

The project will focus on the design of a flagship mobile phone model that supports broadband Internet, and a more economical one whose market price will be under 1,000 yuan, said the company.