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Qualcomm Receives Strong Initial Response for its CDMA New Fifth-generation Chipset and System Software

– September 24, 1998 – ORLANDO, Fla. - September 24, 1998 - Qualcomm Incorporated (NASDAQ: QCOM)today announced growing acceptance for its new fifth-generation CodeDivision Multiple Access (CDMA) chipset and system software, with confirmedorders from handset manufacturers worldwide. The announcement follows theon-time shipment in July of samples of the company's fifth-generationchipset, including the MSM3000™ single-chip Mobile Station Modem™ (MSM™)and the IFT3000™ and IFR3000™ fully integrated Intermediate Frequency (IF)chipset.

The new low-power chipset and system software enables design of smallform-factor handsets with very long stand-by times and support for muchhigher data-rate services, meeting the requirements of today's leadingmanufacturers of CDMA handsets.

As of September 19, 1998, orders for the MSM3000 CDMA chipset and systemsoftware have been confirmed from more than ten of the world's leadinghandset manufacturers based in Japan, Taiwan, United States, and includingthree based in Korea.

Commenting on the quick acceptance of the new-generation technology,Qualcomm's ASIC Product Division President Donald Schrock said, "The quickadoption of the fifth-generation of our chipset indicates the real value ofan integrated solution for handset manufacturers, and I'm especiallypleased to see our partners adopting our new enhanced technology so soonafter its design and initial testing. These manufacturers have recognizedthe significant benefits to be derived from a single-chip baseband solutionand will be first to market with new handsets that feature lower powerconsumption and greater functionality. We look forward to working togetherto ensure that future generations of our technology provide the competitiveedge our partners have come to expect from Qualcomm."

Featuring data rates up to 86.4 kbps, a new microprocessor architecture andseveral new features, the MSM3000 chip continues the high standards set byQualcomm for integrated, single-chip solutions for manufacturers. The highdata rates will be supported by IS-95B compliant infrastructure and enableeffective use of handsets for a new breed of Internet applications withfast packet switched access to databases, e-mail and web browsing.

The chipset is supported by a full-featured software product includingfunctions for long stand-by times, IS-707 and IS-95B high data rates, PCS,roaming and more. All software has been extensively tested and debugged inQualcomm's CDMA laboratories and in the field, with multiple infrastructureproviders' equipment, for solid CDMA performance customers can count on.

The MSM3000 chip interfaces directly with the IFT3000 and IFR3000, and withan RF front end, constitutes the system hardware necessary for an entireIS-95A or IS-95B CDMA compliant subscriber unit. Coupled with Qualcomm'ssuperior software and after-market support, Qualcomm's ASIC ProductsDivision delivers the most comprehensive CDMA solution available.

The new IFT3000 and IFR3000 are the first chips incorporating the completeIF functionality for a CDMA handset, from digital baseband converters toAutomatic Gain Control (AGC), offering an area reduction of 45 percent overprevious IF solutions and substantially lower power consumption.

Headquartered in San Diego, Qualcomm develops, manufactures, markets,licenses, and operates advanced communications systems and products basedon its proprietary digital wireless technologies. The Company's primaryproduct areas are CDMA wireless communications systems and products, theOmniTRACS® system (a geostationary satellite-based, mobile communicationssystem providing two-way data and position reporting services) 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, ASIC products, and communicationsequipment and systems for government and commercial customers worldwide.For more information on Qualcomm products and technologies, please visitthe Company's web site athttp://www.Qualcomm.com/.

Except for the historical information contained herein, this news releasecontains forward- looking statements that are subject to risks anduncertainties, including timely product development and commercialimplementation of the Company's products, as well as the other risksdetailed from time to time in the Company's SEC reports, including thereport on Form 10-K for the year ended September 28, 1997 and most recentForm 10-Q.
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