Kyaukme or Kyauk Me is a surprisingly bustling small town in Shan State in Eastern Myanmar. It's the market town of choice for the surrounding area, and now also features a Chinese quarter almost as big as the rest of the town itself, with the overwhelming majority of the Chinese immigrants engaged in the production of bamboo paper for the Chinese market.
The Mandalay - Lashio train departs at 0400 and stops at Kyauk Me 1320 but expect delays. Upper class 3950K (October 2015).
There are daily buses to Mandalay leaving at 5.30am from the bus station 3500-4000kyat, 3 buses head to Hsipaw from around 7am-2pm 1000 kyat. It is possible to catch buses in the afternoon coming from Hsipaw and Lashio to Mandalay or Yangon from the main road around 1 mile from the town center. You will need to flag the bus down, many do not actually go into Mandalay but only pass it on the way to Yangon.
The town itself is not necessarily that interesting, but the surrounding Palaung villages in the hills are sublime and a great destination for trekking. Several Palaung/Shan and Bamar guides offer trekking and/or motorbike tours of the surrounding area, but it's all very small-scale. A local guide who speaks Palaung and/or Shan is preferable, as real interaction with the locals is then possible.
There are some bamboo/led paper workshops that are interesting. Also there is an English School that is looking for foreigners to drop in and help with lessons. You will likely be approached if arriving by train.
Tourists have been injured by mines in the area. 
Even Kyauk Me now has internet. There are a few internet cafes around town with cheap but excruciatingly slow connections.
As of June 2015 a SIM card from Telenor will give 3G connection in Kyaukme. These SIMs can be picked up for 2000 kyats, plus a 3000 kyats top-up card, good for 500MB of data (1900 kyats) plus some more.
Easiest to book through your accommodation. Goes via Pyin Oo Lynn to Kalaw and Inle Lake. Leaves from the Highway bus stop about 1700. Tuktuk to the Highway stop around 1000K per person. Price to Kalaw is $12 dollars (October 2015) and takes 11 hours plus.
One train per day to Mandalay timetabled to depart at 1125 and arrive 2240, but may be late. Tickets usually on sale at the station a half hour before departure.