Datasea Announces the Establishment of a New Company to Focus on the 5G Opportunities and Related Value-added Services

Rhea-AI Summary

Datasea Inc. (NASDAQ:DTSS) has announced the establishment of a new subsidiary, Shuhai Zhangxun Information Technology Co., Ltd., focused on 5G opportunities and related value-added services. The initiative aims to leverage Datasea's technology in smart security and big data to explore 5G messaging and enhance user experiences. CEO Zhixin Liu highlighted the potential of Rich Communication Services (RCS), predicting significant market growth, with RCS valued at approximately USD $74 billion by the end of 2021. This move reflects Datasea's commitment to improving its offerings across various business lines.

Positive

• Establishment of a new subsidiary focused on 5G opportunities.
• Potential market growth of Rich Communication Services (RCS), estimated at USD $74 billion by end of 2021.
• Expansion into value-added services could diversify revenue sources.

Negative

• None.

NEW YORK, NY / ACCESSWIRE / January 14, 2021 / Datasea Inc. (NASDAQ:DTSS) ("Datasea"), a technology company engaged in providing smart security solutions, smart hardware and education- related technologies in China, announced today that it had established a new subsidiary company named Shuhai Zhangxun Information Technology Co., Ltd. ("Shuhai Zhangxun") to explore opportunities in the 5G field and 5G value-added services.

As a part of Datasea's recent initiative to leverage its technology capabilities in order to expand its business coverage and create new sources of revenue and profit, Shuhai Zhangxun will be dedicated to exploring 5G value-added services (e.g., 5G messaging) opportunities brought by the combination and extension of the Company's smart security platform, big data platform and other technology capabilities currently owned by Datasea.

"At Datasea, we firmly believe in the future of 5G and have been exploring opportunities in this field. Our technology shares a particular connection with 5G messaging known as Rich Communication Services ("RCS"), which enables us to develop services related to 5G messaging. The 5G messaging involves customer-to-customer interactions and enhances traditional messaging services with new services such as multimedia messaging, commercial messaging and interactive services," said Zhixin Liu, CEO of Datasea. "According to Global System for Mobile Communications Association, as of September 2020, 90 mobile network operators worldwide have launched RCS with 473 million global monthly active users, with the RCS market estimated at approximately USD $74 billion by the end of 2021.We believe that 5G messaging can improve both retail and business user experiences. We also believe that in the future, 5G messaging will help upgrade and reinforce our offerings in the smart security solutions and other business lines into which we have tapped."

About Datasea Inc.

Datasea is a technology company in China engaged in providing smart security solutions, smart hardware and developing education-related technologies. Datasea leverages its proprietary technologies, intellectual property, innovative products and market intelligence to provide comprehensive and optimized security solutions and education related technologies to its clients. Datasea has been certified as one of the High Tech Enterprises (jointly issued by the Beijing Science and Technology Commission, Beijing Finance Bureau, Beijing State Taxation Bureau and Beijing Local Taxation Bureau) and one of the Zhongguancun High Tech Enterprises (issued by the Zhongguancun Science Park Administrative Committee) in recognition of the company's achievement in high technology products. For additional company information, please visit: www.dataseainc.com.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will", "expects", "anticipates", "future", "intends", "plans", "believes", "estimates", "target", "going forward", "outlook" and similar statements. Such statements are based upon management's current expectations and current market and operating conditions, and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and which are beyond Datasea's control, which may cause Datasea's actual results, performance or achievements to differ materially and in an adverse manner from anticipated results contained or implied in the forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in Datasea's filings with the U.S. Securities and Exchange Commission, which are available at www.sec.gov. Datasea does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law.

Investor and Media Contact:

International Elite Capital Inc.
Annabelle Zhang
Telephone: +1(646) 866-7989
Email: Datasea@iecapitalusa.com

SOURCE: Datasea Inc

View source version on accesswire.com:
https://www.accesswire.com/624189/Datasea-Announces-the-Establishment-of-a-New-Company-to-Focus-on-the-5G-Opportunities-and-Related-Value-added-Services

FAQ

What is the purpose of the new subsidiary established by Datasea (DTSS)?

The new subsidiary, Shuhai Zhangxun, is focused on exploring opportunities in the 5G field and developing value-added services related to 5G messaging.

What is the estimated market size for Rich Communication Services (RCS) according to Datasea's announcement?

The RCS market is estimated to reach approximately USD $74 billion by the end of 2021.

How does Datasea (DTSS) plan to leverage its existing technology in the 5G market?

Datasea plans to combine its smart security platform and big data technology to create enhanced 5G messaging services.