14 July 2010, Shenzhen, China– ZTE Corporation (“ZTE” - H share stock code: 00763.HK / A share stock code: 000063.SZ) today announced that it has been positioned in the leaders quadrant in Gartner's Magic Quadrant for Softswitch Architecture Report.

As described in the report: "Leaders are high-viability vendors with a broad portfolio, significant market share, broad geographic coverage, a clear vision for how service providers' needs will evolve, and a proven track record for delivering products. They are well positioned with their current product portfolios and are likely to continue to deliver leading products. Leaders do not necessarily offer the best solution for every customer requirement, and their products may not be 'best of breed' throughout their portfolios. However, overall, they provide solutions that offer relatively low risk and high quality. "

"We are honored to be one of the Softswitch architecture leaders recognized by Gartner's Magic Quadrant Report. We believe it is a significant milestone for ZTE's sustainable developments and a clear endorsement of our Softswitch and IMS solutions by the industry," said Mr. Xu Ziyang, Vice President of ZTE.

ZTE's All-IP core network solution covering fixed Softswitch, Mobile Softswitch, IMS and other fields, and the continuous innovative Softswitch and IMS solution promotes the healthy development of industry chain. ZTE is becoming the leader in driving core network technology development and market application all over the world. Based on continuous investment in research and increasing in emerging markets, ZTE gained 35% revenue growth in the Softswitch market, while the overall market suffered a decline of more than 10%.

About the Magic Quadrant

The Magic Quadrant is copyrighted June 2010 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.