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NEC Corporation and Qualcomm Expand Relationship to Develop and Distribute IS-634 Solution for CDMA Mobile Networks

– September 10, 1997 – Qualcomm Incorporated (NASDAQ: QCOM) and NEC Corporation today announced the joint development of an IS-634 interface between NEC's NEAX61S switch and Code Division Multiple Access (CDMA) base station controllers from Qualcomm. The two companies have also agreed to jointly market cdmaOne™ (IS-95 CDMA) cellular and PCS networks utilizing NEC and Qualcomm infrastructure in specific countries where the open interface solution meets customer needs.

The IS-634 interface will operate between Qualcomm's QCore™ 22 Base Station Controller (BSC) and the NEC NEAX61S Mobile Switching Center. The implementation of the IS-634 open interface standard in networks supplied by Qualcomm and NEC offers operators additional flexibility in designing and deploying their CDMA networks.

"The partnership between NEC and Qualcomm provides both of our companies with expanded business opportunities as we are better able to meet customer needs with flexible CDMA network solutions," commented John Major, president of Qualcomm's Infrastructure Products Division. "Qualcomm's commitment to partnering with other premier telecommunications companies will especially benefit operators who are already experienced in supporting the industry's leading switching platforms."

Mr. Y. Matsuo, general manager of Mobile Communications Systems Division, NEC, added that "our IS-634 network configuration will provide an attractive and useful option for operators envisaging a multi-vendor system."

Qualcomm and NEC will continue to market, distribute and support their separate CDMA systems to operators around the world, but will partner in opportunities where customers can benefit from NEC and Qualcomm's joint expertise.

"NEC and Qualcomm have made significant progress toward the integration and testing of the IS-634 interface, and the partnership that we have forged with NEC has been further strengthened by our work in South America," said Jim Edson, regional vice president of South America for Qualcomm. "We are confident that our joint solution will provide South American operators with a flexible IS-634 solution able to meet their wireless communications requirements."

"The first application of Qualcomm and NEC's IS-634 solution will be implemented in the Brazilian market to demonstrate the full potential and benefits of this architecture to our customers," said Mr. William Nolasco Barreto, director of the Wireless Business Unit of NEC DO BRASIL S.A.

NEC Corporation, founded in 1899, is headquartered in Tokyo, Japan and had net sales of US$40 billion for 1996-97 fiscal year. NEC Corporation manufactures and markets a broad range of products including computer systems, which extend from supercomputers to personal computers; communications systems, which extend from switching systems to cellular phones; and electronic devices, which extend from microprocessors to memory chips. NEC DO BRASIL S.A., a $1 billion company headquartered in Sao Paulo, develops, manufactures, markets and integrates a range of telecommunication products to its customers including full turn-key deployments. It is the largest supplier of these systems in Brazil, including cellular networks. NEC DO BRASIL's web site is located at http://www.nec.com.br.

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, ASIC products, and communications equipment and systems for government and commercial customers worldwide. For more information on Qualcomm products and technologies, please visit the Company's web site at http://www.qualcomm.com.

Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including timely product development and commercial implementation of the Company's technology, as well as the other risks detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended September 29, 1996 and most recent Form 10-Qs.

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Topics: Corporate
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