Concept content of shanghai putian Youtong Technology Co., Ltd.

(1) Concept of foreign investment: We signed a strategic cooperation agreement with Nortel Network (China) Co., Ltd. and established the "Shanghai China Post Nortel Technology Cooperation Center", and began to set foot in optical communication, data communication and other fields. Nortel Network is the only wireless infrastructure provider that uses three advanced mobile technologies of UMTS to deploy the network. In the 3G construction, Nortel Network Company once again demonstrated its technical and product advantages, and it is the only company that has completed 3G and 2G voice interworking on the commercial network of operators.

(2)3G concept: The company invested RMB 20.83 million in Datang Mobile Communication Equipment Co., Ltd., accounting for 0.85% of its registered capital. Datang Telecom owns the independent intellectual property rights of TD-SCDMA and is the main system equipment supplier of TD-SCDMA.

(3) AFC products: In 2007, AFC products won the bid for Manila project and entered overseas markets for the first time. AFC system engineering of urban rail transit is designed, manufactured and integrated by domestic manufacturers for the first time. For the first time, the reader with three certificates of entry and exit gates has been realized, and the technical level has reached the international advanced level. In 2007, the terminal equipment of automatic fare collection system of urban rail transit undertaken by the company won the first prize of Shanghai Science and Technology Progress Award.

(4) Tax-controlled cash register products: they won the bid in Beijing and Changchun continuously, which made their products widely used and established their leading position in the domestic industry. At the same time, the products have applied for 8 national patents, including invention patent 1 and software copyright registration, and obtained the qualification of tax-controlled cash register product manufacturer of the Ministry of Information Industry and the national industrial product production license. Commercial sales terminals account for 30% of the domestic product industry market.

(5) Equity acquisition: The company plans to acquire 44% equity of shanghai putian Marconi Network Technology Co., Ltd. held by Marconi Communication International Holdings Limited. Marconi Putian and shanghai putian are both holding companies of China Putian Information Industry Co., Ltd. with a registered capital of 6.8 million US dollars.