An industry insider has revealed that of the nearly 300,000 TD-SCDMA terminals procured by China Mobile (NYSE: CHL; 0941.HK), 20% are currently sitting idle in warehouses. A large portion of the overstocked terminals possess quality issues that make them essentially unmarketable.

Numerous sources have confirmed rumors suggesting China Mobile plans to temporarily defer further TD-SCDMA procurements until an unannounced future date.

Source:CWW