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Lucent Technologies And Qualcomm Complete First Live Data Call Using Highest Speed 3g Mobile Internet Technology

– December 20, 2000 – Murray Hill, NJ -- December 20, 2000 -- Lucent Technologies (NYSE: LU) and Qualcomm Incorporated (Nasdaq: QCOM) today announced the completion of the first successful transmission of data at the highest speed specified for third-generation (3G) wireless networks, using commercial Code Division Multiple Access (CDMA) network equipment. The successful tests of the cdma2000TM 1xEV (1x Evolution) system set the stage for field trials of the technology with Lucent customers in early 2001.

Lucent and Qualcomm performed the tests over a link in the 1.9 GHz spectrum using Lucent's commercial Flexent™ wireless network equipment. The technology enabled applications such as Web browsing, streaming video and e-mail to run at data transmission speeds of up to 2.4 Megabits per second (Mbps), up to 165 times faster than currently available. Successful call handoffs were also completed.

The two companies conducted tests in their respective labs using a development terminal from Qualcomm and the Lucent Flexent Modular Cell. Lucent will integrate the 1xEV technology into its equipment with commercial availability in early 2002.

The 1xEV demonstration expands on a Lucent-Qualcomm alliance announced earlier this year to commercialize 3G CDMA digital wireless technology and develop Qualcomm's High Data Rate (HDR) solution for broadband wireless data communications based on the Internet Protocol (IP).

"Our work with Lucent illustrates the cost-efficient and smooth evolution to 3G services that CDMA can deliver," said Jeff Jacobs, senior vice president of business development for Qualcomm. "cdma2000 1xEV allows mobile operators to comply with the 3G standard data transmission rates of 2.4 Mbps using existing spectrum and network infrastructure equipment."

The Lucent network upgrades needed to achieve the higher data transmission rates with 1xEV will give service providers a cost-effective means to meet the demands of the high-speed mobile Internet. This is accomplished through an evolution to an all-Internet Protocol (IP) core network with Lucent's Flexent Mobility Server and a simple circuit card and software upgrade to existing Lucent base stations.

"At a time when mobile operators worldwide are making major investments in new spectrum and network infrastructure, 1xEV is an ideal option for cost-effectively launching 3G services," said Holly Newman, product management director for Lucent's wireless networks business. "We are demonstrating the bottom-line value and investment protection that 1xEV provides, our customers need and Lucent can deliver."

cdma2000 1x is a CDMA standard endorsed by the International Telecommunications Union (ITU) and is the first step for the evolution to 3G wireless systems. 1x can effectively double the voice capacity of current-generation cdmaOne™ networks and provide data transmission rates of up to 153 kilobits per second. 1xEV is the next step of the CDMA evolution and is based on Qualcomm's HDR technology.

About Lucent Technologies
Lucent Technologies, headquartered in Murray Hill, N.J., USA, designs and delivers the systems, software, silicon and services for next-generation communications networks for service providers and enterprises. Backed by the research and development of Bell Labs, Lucent focuses on high-growth areas such as broadband and mobile Internet infrastructure; communications software; communications semiconductors and optoelectronics; Web-based enterprise solutions that link private and public networks; and professional network design and consulting services. For more information on Lucent Technologies, visit its Web site at http://www.lucent.com.

About Qualcomm
Qualcomm Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on the Company's CDMA digital technology. The Company's business areas include integrated CDMA chipsets and system software; technology licensing; Eudora® email software for Windows® and Macintosh® computing platforms; digital cinema systems; and satellite-based systems including portions of the Globalstar™ system and wireless fleet management systems, OmniTRACS® and OmniExpress™. Qualcomm owns patents that are essential to all of the CDMA wireless telecommunications standards that have been adopted or proposed for adoption by standards-setting bodies worldwide. Qualcomm has licensed its essential CDMA patent portfolio to more than 90 telecommunications equipment manufacturers worldwide. Headquartered in San Diego, Calif., Qualcomm is included in theS&P500 Index and is a 2000 FORTUNE 500® company traded on The Nasdaq Stock Market® under the ticker symbol QCOM.

Flexent is a trademark of Lucent Technologies, Inc. cdma2000 is a trademark of the Telecommunications Industry Association. cdmaOne is a trademark of the CDMA Development Group. All other trademarks are the property of their respective owners.

Qualcomm, OmniTRACS and Eudora are registered trademarks and OmniExpress is a trademark of Qualcomm Incorporated. Globalstar is a trademark of Loral Qualcomm Satellite Services, Incorporated. Windows is a registered trademark of Microsoft Corp. Macintosh is a registered trademark of Apple Computer Inc. All other trademarks are the property of their respective owners.

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