Sharp will target wealthy users in China with its mobile phone launch later this month, seeking growth in a market that has defeated its Japanese peers, a Reuters report said.

Sharp is aiming for upscale users in Shanghai and Beijing to avoid direct competition from lower-priced phones by global leaders such as Nokia and Samsung Electronics, which have greater economies of scale, the Reuters report said.

The move follows pull-outs by fellow Japanese handset makers Matsushita Electric Industrial, NEC and Kyocera, which failed to earn a profit in price-competitive China despite a lineup of some of the world's most cutting-edge phones, the report added.

Sharp will begin selling its first China handset, an adapted version of the Japanese 920SH marketed by carrier Softbank, later this month for a price officials said would be "at least 3,000 yuan ($)."

Sharp, the largest handset maker for the Japan market, will supply two or three additional Japanese models in China by year-end, according to Yoshisuke Hasegawa, group general manager of Sharp's communication systems group, quoted by Reuters.

Source:Wireless Asia