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Qualcomm Personal Electronics, a Qualcomm/Sony Joint Venture, Supplies Handsets for AirTouch Commercial CDMA System Launch

– May 14, 1996 – Sony/Qualcomm CDMA Sales, a division of Qualcomm Personal Electronics (QPE), announced today that they are supplying Sony CM-D500 and Qualcomm QCP-800 CDMA portable phones to support AirTouch Communications launch of CDMA cellular service in the Los Angeles area.

According to AirTouch, the May 15 launch marks the largest commercial introduction of CDMA cellular telephone service in the United States. CDMA phones and service will benefit customers through improved call quality, better privacy, and increased talk time.

The Sony CM-D500 and the Qualcomm QCP-800 dual mode analog/digital cellular phones use the Code Division Multiple Access (CDMA) digital transmission standard. In CDMA mode, both phones deliver up to five hours of talk time and 48 hours of standby time using Sony's Lithium Ion battery technology. When customers subscribe to enhanced features, the phones can support incoming caller ID, short messaging service, and voice mail waiting alert. Users are easily guided through the phone's operations through a user-friendly interface and soft-key menu. The phone's four-line liquid crystal display (LCD) uses icons to indicate signal strength, battery status, transmission mode, roaming status and other functions.

"We think our customers will appreciate the reduced background noise and elimination of cross talk," said Lee Cox, AirTouch Communications, vice chairman and president and CEO of AirTouch Cellular. "These two benefits of our service and CDMA technology distinguish it from what is available today."

Early on, AirTouch had the foresight to see the benefits of CDMA technologyfor their subscribers, said Dr. Paul E. Jacobs, vice president and general manager, Subscriber Products, Qualcomm Incorporated. This launch is the beginning of a fundamental shift in the way people communicate in the U.S. and around the world. AirTouch customers can now experience the outstanding voice quality, reliability, coverage and convenience that only CDMA can deliver.

Our joint marketing, development, engineering and manufacturing teams have worked closely with AirTouch over the past few months to achieve the quality and reliability required for a successful commercial launch, said Yutaka Sato, president of Sony Electronics Wireless Telecommunications Company. This is an important milestone for our industry and we look forward to rapid expansion of CDMA service in the months ahead.

Based in San Diego, QPE is a joint venture of Qualcomm and Sony Electronics which develops, manufactures, markets and sells CDMA phones, leveraging both Qualcomm's technology and Sony's consumer product expertise.

Based in San Diego, Sony Electronics Wireless Telecommunications Company is an integrated design, engineering, manufacturing and sales company pursuing strategic growth opportunities in both the analog cellular market and the emerging digital cellular/personal communications services (PCS) markets.

Headquartered in San Diego, Qualcomm develops, manufactures, markets, licenses and operates advanced communications systems and products based on its proprietary digital wireless technologies. The Company's primary product areas are the OmniTRACS® system (a geostationary satellite-based, mobile communications system providing two-way data and position reporting services), CDMA wireless communications systems and products and, in conjunction with others, the development of the Globalstar low-earth-orbit (LEO) satellite communications system. Other company products include the Eudora Pro? electronic mail software, VLSI components, and communications equipment and systems for government and commercial customers worldwide.

Except for the historical information contained herein, this newsreleasecontains forward-looking statements that are subject to risks and uncertainties,including timely product development, change in economic conditions of thevarious markets that Qualcomm serves, as well as the other risks detailed fromtime to time in Qualcomm's SEC reports, including the report of Form 10-K for the year ended September 24, 1995 and most recent Form 10-Qs.

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