Three Kurdish Women Found Shot Dead in Paris, Police Say

PARIS (Reuters) - Three Kurdish women said to include a founding member of the PKK militant group were shot dead overnight in Paris in killings that appeared politically motivated, police and other sources said on Thursday.

The bodies of the women were found early on Thursday at the Information Centre of Kurdistan in the city centre, a police source said.

An employee of the centre, which has close links to Kurdistan Workers Party (PKK), told French broadcaster i<Tele that one of the dead was a founding member of the group, which is fighting for greater Kurdish autonomy.

The Firat news agency, which is close to the PKK, said another victim was the Paris representative of the Brussels-based Kurdistan National Congress political group.

"There is no doubt this was politically motivated," Berivan Akyol, the centre employee, told i<Tele.

Police launched a murder investigation after discovering the bodies, along with three shell casings, in a room of the Centre in central Paris, the source said, adding that their nationality was Turkish.

The PKK has waged a 28-year insurgency against the Turkish state in which more than 40,000 people are estimated to have been killed.

The Turkish government has recently acknowledged holding talks with the organization's jailed leader, Abdullah Ocalan.

They have agreed a framework for a peace plan, according to Turkish media reports.

Firat said two of those killed were shot in the head and one in the stomach, and that the murder weapon was believed to have been fitted with a silencer.

"A couple of colleagues saw blood stains at the door. When they broke the door open and entered they saw the three women had been executed," French Kurdish Associations Federation Chairman Mehmet Ulker was reported as saying by Firat.

Turkish broadcasters reported police as saying the women had links to the PKK and could have been the victims of executions conducted within the group.

The PKK is designated a terrorist group by Turkey, the United States and European Union.

(Reporting By Nicolas Bertin, Nicholas Vinocur, additional reporting by Daren Butler in Istanbul; Writing by Nick Vinocur; Editing by John Stonestreet)

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A Bold Dissenter at the Fed, Hoping His Doubts Are Wrong

RICHMOND, Va. — Jeffrey M. Lacker, the Federal Reserve’s most persistent internal critic, does not much resemble a firebrand. He is personally cheerful, professionally inclined to see both sides of an issue and quick to acknowledge he may not be right. He says he would rather be wrong.

Steve Ruark for The New York Times

Jeffrey M. Lacker questions the Fed's tack.

But for the last several years, Mr. Lacker, president of the Federal Reserve Bank of Richmond, has warned repeatedly that the central bank’s extraordinary efforts to stimulate growth are ineffective and inappropriate and, worst of all, that the Fed is undermining its hard-won ability to control inflation.

Last year, Mr. Lacker cast the sole dissenting vote at each of the eight meetings of the Fed’s policy-making committee, only the third time in history a Fed official dissented so regularly.

“We’re at the limits of our understanding of how monetary policy affects the economy,” Mr. Lacker said in a recent interview in his office atop the bank’s skyscraper here. “Sometimes when you test the limits you find out where the limits are by breaking through and going too far.”

As the Fed enters the sixth year of its campaign to revitalize the economy, the debate between the Fed’s majority and Mr. Lacker — whose views are shared by others inside the central bank, as well as some outside observers — highlights the extent to which the Fed is operating in uncharted territory, making choices that have few precedents, unclear benefits and uncertain consequences.

The economy continues to muddle along, shadowed by the threat of another government breakdown, and the crisis of high unemployment is only slowly receding. But in trying to address those problems by suppressing interest rates, the Fed risks the unleashing of speculation and inflation.

It is basically a matter of disposition: is it better to risk doing too much, or not enough?

Mr. Lacker, 57, often uses the word “humility” in describing his views. He means that the Fed should recognize that its power to stimulate the economy is limited, both for technical reasons and because it should not encroach on the domain of elected officials by picking winners and losers.

As he sees it, the Fed’s current effort to reduce unemployment by purchasing mortgage-backed securities crossed both lines. He sees little evidence that it will help to create jobs. And he says that buying mortgage bonds is a form of fiscal policy, because it lowers interest rates for a particular kind of borrower.

But Mr. Lacker is at pains to emphasize that his disagreement with the other 11 members of the Federal Open Market Committee, who supported the purchases, is not about the need for help.

“It’s very unfair to think of me as not caring about the unemployed,” he said. “It just seems to me that there are real impediments, that just throwing money at the economy is unlikely to solve the problems that are keeping a 55-year-old furniture worker from finding a good competitive job.”

That sense of caution is deeply frustrating to proponents of the Fed’s recent efforts. The economists Christina D. Romer and David H. Romer wrote in a paper published last month that such pessimism about the power of monetary policy is “the most dangerous idea in Federal Reserve history.”

“The view that hubris can cause central bankers to do great harm clearly has an important element of truth,” wrote the Romers, both professors at the University of California, Berkeley. “But the hundred years of Federal Reserve history show that humility can also cause large harms.”

It also makes an interesting contrast with Mr. Lacker’s personality. His favorite escape is driving a Porsche Boxster racecar; a model sits on a shelf at his office. He jokes that the track is the only place that people don’t ask him about interest rates — although, he adds, they do care about fuel prices.

And at the Fed, an institution that likes consensus, dissenting also requires a certain amount of boldness. Mr. Lacker has now said no at 13 of the 24 regular policy meetings he has attended as a voting member, one-third of all dissents since Ben S. Bernanke became the Fed’s chairman in 2006. He voted in 2006, 2009 and 2012 as part of the regular rotation of reserve bank presidents.

Even some who sympathize with his concerns doubt the efficacy of such public stands.

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Recipes for Health: Cauliflower and Tuna Salad — Recipes for Health

Andrew Scrivani for The New York Times

I have added tuna to a classic Italian antipasto of cauliflower and capers dressed with vinegar and olive oil. For the best results give the cauliflower lots of time to marinate.

1 large or 2 small or medium cauliflowers, broken into small florets

1 5-ounce can water-packed light (not albacore) tuna, drained

1 plump garlic clove, minced or pureéd

1/3 cup chopped flat-leaf parsley

3 tablespoons capers, drained and rinsed

1 tablespoon fresh lemon juice

3 tablespoons sherry vinegar or champagne vinegar

6 tablespoons extra virgin olive oil

Salt and freshly ground pepper

1. Place the cauliflower in a steaming basket over 1 inch of boiling water, cover and steam 1 minute. Lift the lid for 15 seconds, then cover again and steam for 5 to 8 minutes, until tender. Refresh with cold water, then drain on paper towels.

2. In a large bowl, break up the tuna fish and add the cauliflower.

3. In a small bowl or measuring cup, mix together the garlic, parsley, capers, lemon juice, vinegar, and olive oil. Season generously with salt and pepper. Add the cauliflower and toss together. Marinate, stirring from time to time, for 30 minutes if possible before serving. Serve warm, cold, or at room temperature.

Yield: Serves 6 as a starter or side dish

Advance preparation: You can make this up to a day ahead, but omit the parsley until shortly before serving so that it doesn’t fade. It keeps well in the refrigerator for up to 5 days.

Nutritional information per serving: 188 calories; 15 grams fat; 2 grams saturated fat; 2 grams polyunsaturated fat; 10 grams monounsaturated fat; 10 milligrams cholesterol; 8 grams carbohydrates; 3 grams dietary fiber; 261 milligrams sodium (does not include salt to taste); 9 grams protein

Martha Rose Shulman is the author of “The Very Best of Recipes for Health.”

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Recipes for Health: Cauliflower and Tuna Salad — Recipes for Health

Andrew Scrivani for The New York Times

I have added tuna to a classic Italian antipasto of cauliflower and capers dressed with vinegar and olive oil. For the best results give the cauliflower lots of time to marinate.

1 large or 2 small or medium cauliflowers, broken into small florets

1 5-ounce can water-packed light (not albacore) tuna, drained

1 plump garlic clove, minced or pureéd

1/3 cup chopped flat-leaf parsley

3 tablespoons capers, drained and rinsed

1 tablespoon fresh lemon juice

3 tablespoons sherry vinegar or champagne vinegar

6 tablespoons extra virgin olive oil

Salt and freshly ground pepper

1. Place the cauliflower in a steaming basket over 1 inch of boiling water, cover and steam 1 minute. Lift the lid for 15 seconds, then cover again and steam for 5 to 8 minutes, until tender. Refresh with cold water, then drain on paper towels.

2. In a large bowl, break up the tuna fish and add the cauliflower.

3. In a small bowl or measuring cup, mix together the garlic, parsley, capers, lemon juice, vinegar, and olive oil. Season generously with salt and pepper. Add the cauliflower and toss together. Marinate, stirring from time to time, for 30 minutes if possible before serving. Serve warm, cold, or at room temperature.

Yield: Serves 6 as a starter or side dish

Advance preparation: You can make this up to a day ahead, but omit the parsley until shortly before serving so that it doesn’t fade. It keeps well in the refrigerator for up to 5 days.

Nutritional information per serving: 188 calories; 15 grams fat; 2 grams saturated fat; 2 grams polyunsaturated fat; 10 grams monounsaturated fat; 10 milligrams cholesterol; 8 grams carbohydrates; 3 grams dietary fiber; 261 milligrams sodium (does not include salt to taste); 9 grams protein

Martha Rose Shulman is the author of “The Very Best of Recipes for Health.”

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A Financial Service for People Fed Up With Banks

Steve Dykes for The New York Times

Shamir Karkal, left, and Josh Reich, center, the founders of Simple.

Like many people, Josh Reich got fed up with his bank after it charged him overdraft fees and he endured painful customer service calls to fight them. But unlike most people, Mr. Reich, a software engineer from Australia, decided to come up with a better way to bank.

Mr. Reich and a co-founder, Shamir Karkal, created Simple, an online banking start-up company based in Portland, Ore., that offers its customers free checking accounts and data-rich analysis of their transactions and spending habits.

Few entrepreneurs dare to set their sights on industries as large and entrenched as banking and expect to flourish. But Mr. Reich, 34, a professed data nerd who has built computers and tinkered with the innards of sophisticated cameras, holds a master’s degree in business and has a robust background in financial data analysis. He is confident that Simple’s minimalist approach — it promises not to charge any fees for any services — will draw fans and customers.

“Banks make money by keeping customers confused,” Mr. Reich said. “There’s no incentives to make the experience better.”

Of course, inviting people to trust a start-up with their money is a lot to ask. The company, which began signing up customers late last year in a deliberately slow fashion, now has 20,000 and has processed transactions worth more than $200 million.

It also has the backing of prominent venture capital firms including Shasta Ventures, SV Angel and IA Ventures and has raised more than $13 million. Simple has few, if any, direct competitors, although some services like SmartyPig and Mint offer analysis of bank accounts and financial transactions.

Simple is actually not a bank. It has deals with CBW Bank and Bancorp, federally insured banks, to hold its customers’ money.

And it has built slick apps for the Web and mobile devices to give customers an overview of their accounts and transactions. But it encourages customers to treat it as a bank, closing their more traditional accounts and only using Simple.

The company’s biggest challenge, banking analysts say, will be to persuade people to give it a try.

“It is extremely difficult to get consumers to change and leave their banks,” said Jacob Jegher, an analyst at Celent, a research and consulting firm. “Plus, although they are not a bank, they still operate like a financial institution, and they will face challenges that big banks have decades of experience with.”

After the financial crisis, smaller community banks and credit unions gained customers eager for alternatives to larger corporate banks. Experts say Simple could attract those customers as well.

Early adopters are warming to the service; during a speech last fall at a conference aimed at technology enthusiasts, designers and creative people, Mr. Reich asked how many in attendance were Simple customers. A majority of the crowd raised hands.

Mr. Reich said Simple was keeping its first group of customers small to allow it to work out any kinks. (Already there have been some flaws, like one that briefly locked several users out of their accounts in November.) At this stage, those who want a Simple account have to request an invitation on its site, though these are handed out fairly liberally to those who meet the minimal qualifications of Simple and its bank partners.

Customers receive a plain white card that can be used like a debit card. The company offers most traditional banking features, like direct deposit and money transfers. But there is plenty it does not offer, like joint or business checking accounts, or paper checkbooks, which may be a deal killer for some.

The start-up does not have physical bank branches or automated teller machines, nor does it plan to build any. As a result, Simple customers cannot make cash deposits and must rely on the Internet and phone for service.

Simple tries to make up for what it does not have with modern software design and data analysis.

Each Simple transaction is tagged with detailed information that allows customers to search their accounts with plain English commands like “Show me how much I spent on meals over $30 last month,” or “Show me how much money I spent on gifts in December.”

Customers can see transactions plotted on a map or search for all transactions in a particular state or country, something that would be difficult with a traditional bank account.

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Record Heat Fuels Widespread Fires in Australia

Lukas Coch/European Pressphoto Agency

Firefighters battled a grass fire in Oura, near Wagga Wagga, Australia, on Tuesday. On Monday, Australia’s hottest day on record, the national average was 104.59 degrees.

Australia on Wednesday was grappling with an unprecedented heat wave that has sparked raging bushfires across some of the country’s most populated regions – pushing firefighters to their limits, residents to their wits’ end and leaving meteorologists tracking the soaring temperatures into uncharted territory.

Four months of record-breaking temperatures stretching back to September of last year have combined over the past week with widespread drought conditions and high winds to create what the government had labeled “catastrophic” fire conditions along the heavily populated eastern and southeastern coasts of the country, where much of the population is centered.

Data analyzed on Wednesday by the government-run Bureau of Meteorology indicated that national heat records had again been set – Tuesday was the third hottest day on record at 40 Celsius (104 Fahrenheit) and the mean national temperature average was the highest in history, breaking a record set just the day before, on Monday. Meteorologists have taken the extraordinary step of adding two new colors to its temperature charts to extend their range to 54 C(129 F) from the previous cap of 50 degrees C (122 F) to account for the climbing temperatures.

“If you look at yesterday, at Australia as a whole, it was the hottest day in our records going back to 1911,” said Dr. David Jones, manager of climate monitoring prediction at the Bureau of Meteorology. “From this national perspective, one might say this is the largest heat event in the country’s recorded history.”

With the record-breaking heat, firefighters were struggling to contain the huge bushfires in Australia’s most populous state, New South Wales, which have swallowed around 324,000 acres of forest and farmland since they erupted on Tuesday. Fires on the island state of Tasmania off the country’s southern coast have destroyed 80,000 hectares since Friday.

No deaths have been reported in connection with the fires, although about 100 people remain unaccounted for since a fire destroyed around 90 homes in the Tasmanian town of Dunalley, east of the state capital of Hobart, last week.

And despite a brief respite from the searing heat in some coastal areas on Wednesday, the government has warned that the hot spell was only just getting started as the so-called “Dome of Heat” began moving up the eastern seaboard away from Sydney, where it was expected to deliver more blistering weather to Brisbane, Australia’s third largest city.

NASA published alarming photographs of the enormous fires, which have grown so large that they are visible from outer space, allowing them to be photographed from the International Space Station on Tuesday. The intensity of the bushfires and the unrelenting nature of the heat have already led some climate scientists to criticize what they see as an indifference to the realities of man-made climate change, which is widely believed to be the driving factor behind these events.

"Those of us who spend our days trawling - and contributing to - the scientific literature on climate change are becoming increasingly gloomy about the future of human civilization,” Dr. Elizabeth Hanna, a researcher at the Australian National University in Canberra, told The Sydney Morning Herald. ”We are well past the time of niceties, of avoiding the dire nature of what is unfolding, and politely trying not to scare the public.”

Dr. Jones, the government climate scientist, echoed that opinion.

“This event is turning out to be hotter, more spatially expansive and the duration is quite remarkable,” he said in an interview. “And that suggests climate change.”

At least 141 fires continued to rage in New South Wales on Wednesday, with 31 of those fires burning out of control. The deputy commissioner of the state’s Rural Fire Service, Rob Rogers, told reporters that it was a bad sign that the fires could not be contained during the brief drop in temperatures.

“We’ve got a huge swath of New South Wales that potentially is going to get new fires again this afternoon,” Mr. Rogers said. “It will be an absolute battle to get containment on most of those fires before the return of the hot weather on the weekend.”

Tuesday’s new high adds to a growing list of records the Bureau of Meteorology has recorded during this extended heat wave: the first time the country has recorded seven consecutive days of temperatures above 39 C; the year with the most record hot days in Australia since national records began in 1910, and nationwide average temperatures on each of the first eight days of 2013 that were among the top 20 hottest days on record here.

Dr. Jones warned that there was no sign that temperatures would stay down even as the heat wave appeared to slightly recede in Sydney on Wednesday.

“We expect it to stay very hot across inland Australia for the next week,” he said. “Beyond that it’s hard to say.”

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Japan’s Cleanup After a Nuclear Accident Is Denounced

Ko Sasaki for The New York Times

Bags of contaminated soil outside the Naraha-Minami school near the Fukushima Daiichi nuclear power plant.

NARAHA, Japan — The decontamination crews at a deserted elementary school here are at the forefront of what Japan says is the most ambitious radiological cleanup the world has seen, one that promised to draw on cutting-edge technology from across the globe.

Ko Sasaki for The New York Times

Workers reflected in the glass of the Naraha-Minami Elementary School

But much of the work at the Naraha-Minami Elementary School, about 12 miles away from the ravaged Fukushima Daiichi nuclear power plant, tells another story. For eight hours a day, construction workers blast buildings with water, cut grass and shovel dirt and foliage into big black plastic bags — which, with nowhere to go, dot Naraha’s landscape like funeral mounds.

More than a year and a half since the nuclear crisis, much of Japan’s post-Fukushima cleanup remains primitive, slapdash and bereft of the cleanup methods lauded by government scientists as effective in removing harmful radioactive cesium from the environment.

Local businesses that responded to a government call to research and develop decontamination methods have found themselves largely left out. American and other foreign companies with proven expertise in environmental remediation, invited to Japan in June to show off their technologies, have similarly found little scope to participate.

Recent reports in the local media of cleanup crews dumping contaminated soil and leaves into rivers has focused attention on the sloppiness of the cleanup.

“What’s happening on the ground is a disgrace,” said Masafumi Shiga, president of Shiga Toso, a refurbishing company based in Iwaki, Fukushima. The company developed a more effective and safer way to remove cesium from concrete without using water, which could repollute the environment. “We’ve been ready to help for ages, but they say they’ve got their own way of cleaning up,” he said.

Shiga Toso’s technology was tested and identified by government scientists as “fit to deploy immediately,” but it has been used only at two small locations, including a concrete drain at the Naraha-Minami school.

Instead, both the central and local governments have handed over much of the 1 trillion yen decontamination effort to Japan’s largest construction companies. The politically connected companies have little radiological cleanup expertise and critics say they have cut corners to employ primitive — even potentially hazardous — techniques.

The construction companies have the great advantage of available manpower. Here in Naraha, about 1,500 cleanup workers are deployed every day to power-spray buildings, scrape soil off fields, and remove fallen leaves and undergrowth from forests and mountains, according to an official at the Maeda Corporation, which is in charge of the cleanup.

That number, the official said, will soon rise to 2,000, a large deployment rarely seen on even large-sale projects like dams and bridges.

The construction companies suggest new technologies may work, but are not necessarily cost-effective.

“In such a big undertaking, cost-effectiveness becomes very important,” said Takeshi Nishikawa, an executive based in Fukushima for the Kajima Corporation, Japan’s largest construction company. The company is in charge of the cleanup in the city of Tamura, a part of which lies within the 12-mile exclusion zone. “We bring skills and expertise to the project,” Mr. Nishikawa said.

Kajima also built the reactor buildings for all six reactors at the Fukushima Daiichi plant, leading some critics to question why control of the cleanup effort has been left to companies with deep ties to the nuclear industry.

Also worrying, industry experts say, are cleanup methods used by the construction companies that create loose contamination that can become airborne or enter the water.

At many sites, contaminated runoff from cleanup projects is not fully recovered and is being released into the environment, multiple people involved in the decontamination work said.

Makiko Inoue contributed reporting from Tokyo.

This article has been revised to reflect the following correction:

Correction: January 8, 2013

Earlier versions of this article misspelled the name of the construction company in charge of the cleanup of the city of Tamura. It is the Kajima Corporation, not Kashima.

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Vital Signs: Perceptions: Babies Seem to Pick Up Language in Utero

A new study suggests that babies learn bits of their native languages even before they are born.

A baby develops the ability to hear by about 30 weeks’ gestation, so he can make out his mother’s voice for the last two months of pregnancy. Researchers tested 40 American and 40 Swedish newborns to see if they could distinguish between English and Swedish vowel sounds. The study is scheduled for future publication in the journal Acta Paediatrica.

The scientists gave the babies pacifiers that counted the number of sucks they made. As the babies sucked, they listened to Swedish and English vowel sounds; the more they sucked, the more the sounds were played. The researchers inferred the babies’ interest in the sound by the amount of sucking.

American babies consistently sucked more often when hearing Swedish vowel sounds, suggesting that the infants had not heard them before, and Swedish babies sucked more when hearing English vowels.

Learning so quickly after birth was unlikely, the researchers concluded, so the babies’ understanding the difference between native and nonnative sounds could be attributed only to prenatal learning.

“Even in late gestation, babies are doing what they’ll be doing throughout infancy and childhood — learning about language,” said the lead author, Christine Moon, a professor of psychology at Pacific Lutheran University.

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The researchers set up a system to test how well an infant recognizes vowel sounds. They measured the number of times a baby sucked on a pacifier that triggered various vowel sounds. The babies tended to suck faster on their pacifier when they heard the vowel sounds of a foreign language as opposed to the one their mother’s spoke.

Read More..

Vital Signs: Perceptions: Babies Seem to Pick Up Language in Utero

A new study suggests that babies learn bits of their native languages even before they are born.

A baby develops the ability to hear by about 30 weeks’ gestation, so he can make out his mother’s voice for the last two months of pregnancy. Researchers tested 40 American and 40 Swedish newborns to see if they could distinguish between English and Swedish vowel sounds. The study is scheduled for future publication in the journal Acta Paediatrica.

The scientists gave the babies pacifiers that counted the number of sucks they made. As the babies sucked, they listened to Swedish and English vowel sounds; the more they sucked, the more the sounds were played. The researchers inferred the babies’ interest in the sound by the amount of sucking.

American babies consistently sucked more often when hearing Swedish vowel sounds, suggesting that the infants had not heard them before, and Swedish babies sucked more when hearing English vowels.

Learning so quickly after birth was unlikely, the researchers concluded, so the babies’ understanding the difference between native and nonnative sounds could be attributed only to prenatal learning.

“Even in late gestation, babies are doing what they’ll be doing throughout infancy and childhood — learning about language,” said the lead author, Christine Moon, a professor of psychology at Pacific Lutheran University.

---

The researchers set up a system to test how well an infant recognizes vowel sounds. They measured the number of times a baby sucked on a pacifier that triggered various vowel sounds. The babies tended to suck faster on their pacifier when they heard the vowel sounds of a foreign language as opposed to the one their mother’s spoke.

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Providing a Template to Challenge Apple

TAIPEI — In the China smartphone market, Apple has seen better days.

Despite having reported record sales of the iPhone 5, the U.S. technology giant’s presence on the mainland flagged in 2012; it was pushed out of the top five smartphone makers in that market during the third quarter, with just 8 percent of the market, according to the research firm Canalys.

As Coolpad, Huawei, Lenovo, Samsung and ZTE surged ahead of Apple, a major force behind their success was MediaTek, a Taiwanese chip maker whose products have drastically reduced the cost for manufacturers of getting new phones to market.

The company entered the smartphone business late, introducing its first chipset in 2011 inside a Lenovo phone. But within a year and a half, analysts say, MediaTek has taken 50 percent of China’s market for smartphone chips.

That success has come with the adoption of what MediaTek calls a “turnkey solution.” Rather than simply provide a chip, the company also offers instructions on how to build a phone, the software architecture to run it and dedicated consultants to advise phone makers through the production process. MediaTek’s chief financial officer, David Ku, describes this as a franchise model in which all the clients have to do is “turn on the burner.”

Peter Liao, an analyst at Nomura Securities who covers the industry, said MediaTek saved phone makers the often prohibitive cost of research and development.

“It typically takes a lot of money and time to develop a new handset model, but MediaTek comes in and provides a total solution,” Mr. Liao said.

The company has proved wildly popular among Chinese phone makers. Besides supplying Huawei, Lenovo and ZTE, MediaTek also supports lesser-known manufacturers, including those that make so-called bandit phones that imitate premium models from Apple, Samsung and HTC.

TCL Communication Technology Holdings, a Chinese phone maker that sells phones primarily in Europe and Latin America, uses MediaTek’s chips. Its chief operating officer, Wang Jiyang, said that when his company works with MediaTek, its only major design tasks are to make the software more user-friendly and to tailor the look and feel of the phone.

“In general, with MediaTek’s help, we’re able to achieve almost twice as fast time to market, compared to other solutions,” Mr. Wang said.

MediaTek was founded in 1997. It started out making chips for home entertainment electronics like DVD players and televisions before moving into components for CD and DVD-ROM devices. In 2004, it began making chips for small mobile phones.

MediaTek estimates that it will lead the Chinese market by selling 110 million smartphone chips in 2012, up from 10 million chips a year ago.

By comparison, Qualcomm, the global leader in smartphone chips, is expected to finish 2012 in second place in China with 82 million chips shipped, according to the research firm DigiTimes.

MediaTek has been powered by consumers like Zhang Ying, 31, who want to try the latest technology but not pay a premium for it. Mr. Zhang, a Shanghai resident, bought a knockoff HTC phone last year. “Every person has a price point,” he said. “At a time when some of my friends were buying Samsung or iPhone, I wanted to show that I can keep up with them. A lot of domestic phones are cheap and of fairly good quality.”

People who think like Mr. Zhang are dominating sales, especially among first-time smartphone buyers. In a September report, McKinsey, the global consulting firm, estimated that 69 percent of all smartphones sold in China would cost less than 1,500 renminbi, or about $240, by the second half of 2013.

And MediaTek is taking its business model to other emerging markets. The company’s products support features that are popular in developing countries, like noise-reducing speakers and slots for two SIM cards.

In India, local brands like Spice and Micromax are rolling out lower-priced smartphone models using MediaTek parts. In Brazil, phones by Motorola Mobility, as well as local brands like Gradiente and Multilaser, will also have MediaTek chips.

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