ZTE confirms Partnership

[kevinh]

http://tech.huanqiu.com/Enterprise/2013-11/4532829.html

Not sure if the above has been posted but ZTE confirms partnership. I can provide an accurate translation from Chinese to English if people feel this is necessary or Google Translate is inaccurate.

[admin]

Thanks Kevin.

[chenlica]

great finding! thanks!

ZTE sucks...lack of integrity! i will never buy their product from now on.

[kevinh]

My translation (edited to reflect chenlica's comment):

Representatives of ZTE confirms the company’s partnership with NQ, on NQ Security, NQ ___ (not sure what this is) and NQ Mi-Assistant. Previously, ZTE denied and did not confirm its relationship with NQ because it felt it was a “sensitive moment,” and thus, “inappropriate to make any statements.”
Today, the author approached Mr. Ning, representative of ZTE, and expressed that he (the author) has been to NQ and reviewed the contracts himself. Afterwards, Mr. Ning confirms that ZTE indeed has business relationships with NQ over NQ Security, NQ____, and NQ Mi-Assistant.
And the author learnt that ZTE denied and refused to disclose any business relationship because it felt it was a “sensitive moment,” and thus, “inappropriate to make any statements.”
On October 25th, a media outlet reported “NQ is accused of fabricating corporate partnerships” (report has already been redacted by these media sources), with the author of this report stating that the source came from ZTE. Afterwards, the media report states that ZTE claims it has “no pre-installation partnership” with NQ. Then ZTE representative claims he “does not know” of the partnership between that ZTE and NQ, which reinforced Muddy Water’s position that “NQ fabricated partnerships,” greatly damaging the brand value of NQ.
But after ZTE’s denial, NQ immediately responded and pointed out that “unclear” does not equal to “did not have corporate partnership,” and immediately provided email correspondence regarding said partnership to the media.
Regarding ZTE’s position of “urgently disassociating with NQ,” NQ representative states that Muddy Waters malignant attack has damaged the credibility and trustworthiness of NQ to the capital markets, and NQ understands the position ZTE is in. “ZTE’s position of “we don’t know” is not the same as denying these cooperation exist,” says Miss Yang, representative of NQ.


And to disclose, I am long but primarily for a short swing trade. I got in on the initial downmove and unwinded at $14.30 during the previous upmove. Bought back in yesterday and today with a cost average significantly higher than where the stock is. I was unaware of NQ's existence until the MW report, but once it started moving cash to Standard Charter, I became interested.

[chenlica]

thanks for the translation effort. just a heads-up...掌心管家 is not NQ family..in MW's latest report it is called something "Mi-Assistant". Basically, it's a ZTE security product that NQ developed and white labelled for them.