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Qualcomm Announces New Mobile Station Modem with 13 Kilobit PureVoice Speech Coding

– June 25, 1996 – DALLAS - June 25, 1996 - Qualcomm Incorporated (NASDAQ: QCOM) todayannounced the next generation Mobile Station Modem (MSM 2.2) ApplicationSpecific Integrated Circuit (ASIC) with the new 13 Kilobit and 8 KilobitPureVoice® vocoder. Designed for battery-operated portable telephones andrequiring only a single power supply operating between 2.7 to 3.6 Volts,the MSM 2.2 is a single-chip solution for dual-mode Code Division MultipleAccess (CDMA)/analog AMPS cellular and personal communications services(PCS) phones.

With low power consumption and IS-95 compliant performance, the MSM 2.2simplifies design decisions for communications engineers and reduces thecomplexity of the final product. The MSM 2.2 provides an importantadvantage to the telephone manufacturer in terms of physical area, cost andbattery life.

The PureVoice vocoder, the latest version of the proprietary 13 kilobitQualcomm Code Excited Linear Predictive (QCELP-13) speech coding algorithm,was developed for use in Qualcomm's cellular and PCS products featuring theCompany's CDMA technology. The PureVoice vocoder achieves near wirelinevoice quality while keeping the average bit rate low to preserve systemcapacity. The MSM 2.2 vocoder is also capable of speech coding at the 8Kilobit/sec rate used in some CDMA systems.

"The new Mobile Station Modem demonstrates Qualcomm's commitment toproducing higher levels of integration and functionality for the CDMA phonemarket and to lead the systems integration of CDMA ASICs so that smaller,lighter and less expensive phones can be produced," said Don Schrock, vicepresident and general manager of ASIC Products for Qualcomm.

Integrating an IS-95 compliant CDMA hardware engine and an embedded Intelarchitecture processor, the MSM 2.2 performs forward link demodulation,reverse link modulation, voice coding and decoding and a host of otherdigital process functions. The MSM 2.2 interfaces directly with theQualcomm Analog Baseband Processor (BBA) to perform Intermediate Frequency(IF)-to-digital baseband conversion. Memory and RF interfaces are the onlyadditional hardware needed.

Qualcomm and Intel have signed a contract, whereby Intel will manufacturethe new MSM 2.2 devices. Engineering samples are expected to be availablefrom Qualcomm in the third quarter of 1996. The MSM 2.2 is expected to beavailable in production quantities from Qualcomm in the fourth quarter of1996.

Headquartered in San Diego, Qualcomm develops, manufactures, markets,licenses and operates advanced communications systems and products based onits proprietary digital wireless technologies. The Company's primaryproduct areas are the OmniTRACS® system (a geostationary satellite-based,mobile communications system providing two-way data and position reportingservices), CDMA wireless communications systems and products and, inconjunction with others, the development of the Globalstar low-earth-orbit(LEO) satellite communications system. Other Company products include theEudora Pro electronic mail software, VLSI components, and communicationsequipment and systems for government and commercial customers worldwide.

Except for the historical information contained herein, this news releasecontains forward-looking statements that are subject to risks anduncertainties, including timely product development, change in economicconditions of the various markets the Company serves, as well as the otherrisks detailed from time to time in the Company's SEC reports, includingthe report on Form 10-K for the year ended September 24, 1995 and mostrecent Form 10-Qs.

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