German telecom equipment giant Siemens Communications intends to set up more research and development (R&D) centres in China for the development of 3G telecommunications and explore merger and acquisition opportunities. Siemens may reportedly be interested in buying Harbour Networks, a network equipment company in China. Siemens already has a joint venture with China's leading telecom equipment maker, Huawei Technologies, for the development of China's homegrown 3G standard, TDSCDMA. With this, Siemens expects to increase its market share in China's 3G market, which analysts expect will generate more than $10 billion worth of new purchasing in the first three years after licences are awarded.