Editorial Summary

Yu Yushu, the CEO of Shanghai-based TD-SCDMA-focused telecom company Commit Incorporated, held an employee meeting on Wednesday asking all of his employees to resign within four business days, reports China Business News quoting a Commit insider. The insider said Commit will cease operations this month, and issue IOUs to all of its employees for unpaid wages that have been accumulating since January 1.

Commit signed off on a $20 million investment contract last week, which subsequently fell through due to misgivings about 3G development, reports cww.net.cn quoting a company employee. According to the insider quoted in the China Business News report, the closure is related to Israeli venture capital firm Infinity's decision not to invest in the company this year.

Calling to confirm the news on Thursday, Pacific Epoch found that only the security guard was still on the premises. The guard said all the employees had gone to Chinese telecom equipment provider Datang Mobile. With its 220 employees, Commit focuses on the research and development of TD-SCDMA terminal solutions.