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Qualcomm and KTFreeTel Reach Agreement to Commercially Launch BREW-Enabled Handsets and Services to Customers in November 2001

– October 24, 2001 – BEIJING -- October 24, 2001 -- Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, and KTFreeTel, a leading Korean wireless carrier, today announced at the PT/Wireless&Networks Comm Beijing 2001 conference that the companies have reached an agreement for the commercial launch of KTFreeTel's applications service based on Qualcomm's Binary Runtime Environment for Wireless (BREW) platform. KTFreeTel expects to roll out its BREW-enabled magic n multipack service to subscribers on their third-generation (3G) CDMA2000 1X network beginning November 1, 2001. KTFreeTel will be the first carrier in the world to launch BREW platform services and provide customers with the ability to download wireless applications over the air - anytime, anywhere.

"KTFreeTel's commitment to Qualcomm's BREW platform represents a bold advancement toward the future of useful wireless data services," said Peggy Johnson, president of Qualcomm Internet Services, the division of Qualcomm responsible for the complete BREW solution. "KTFreeTel's customer focus, combined with Qualcomm's technology leadership, takes full advantage of the improved capabilities of today's mobile devices to bring truly relevant, useful solutions to market. For the first time, people will be able to choose the applications and features they want, and the BREW platform's ability to download applications over the air is the breakthrough that enables this."

The agreement was announced at a ceremony featuring Dr. Joo Young Song, senior vice president, KTFreeTel Multimedia Business Division and Peggy Johnson.

"This agreement with Qualcomm further enhances KTFreeTel's technology leadership and market strategy," said Dr. Song. "We've created a much-needed solution that will put the power to personalize cell phone services, over the air, directly in the hands of consumers."

KTFreeTel conducted a successful public user trial of the BREW-enabled magic n multipack service with 5,000 users in September and October 2001. The BREW-enabled service allows KTFreeTel subscribers to easily download and install a variety of applications in a matter of seconds. For KTFreeTel's customers, this means that the same BREW-enabled handset hardware can provide very different capabilities tailored to individual interests as subscribers download the applications they want from various categories, such as games and entertainment, business applications, messaging and navigation services. More than 160 applications are currently available from more than 20 companies, including Anicom, Gaeasoft, GeoTel and Lycos-Javagame.

KTFreeTel's BREW services will launch on two new CDMA2000 1X BREW-enabled handsets:

  • LG Electronics' CX300 phone features a 256-color display, a clamshell design and dual LCD screen.
  • Samsung's SPH-X2500 phone has a color display, a clamshell design and features Samsung's melody maker that uses a 16-chord progression.

Details of the business agreement between Qualcomm and KTFreeTel were not disclosed.

Qualcomm's BREW platform is a thin, standardized execution environment that resides in handsets. Native BREW applications are written in C/C++. While the BREW platform supports programming in other languages, such as Java, C/C++ is used as a primary language by significantly more developers worldwide than any other language, according to International Data Corp. Qualcomm's BREW initiative is the only approach that offers developers, OEMs and carriers a complete, end-to-end solution for wireless applications development, device configuration, application distribution, and billing and payment. The complete BREW solution includes the BREW Software Development Kit™ (SDK) for developers, the BREW application platform and porting tools for device manufacturers, and the BREW Distribution System (BDS) that enables developers and their carrier customers to get applications to market and coordinates the billing and payment processes for them. Carriers' BREW services will enable consumers to customize their handsets by downloading applications over the air from a carrier's application download server.

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 CDMA chipsets and system software; technology licensing; the BREW applications platform; Eudora® e-mail software; 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 100 telecommunications equipment manufacturers worldwide. Headquartered in San Diego, Calif., Qualcomm is included in theS&P500 Index and is a 2001 FORTUNE 500® company traded on The Nasdaq Stock Market® under the ticker symbol QCOM.

Except for the historical information contained herein, this news release may contain forward-looking statements, (including but not limited to express or implied statements regarding the performance of, demand for and sales of BREW-enabled units, or BREW applications), that are subject to risks and uncertainties, including the extent and speed to which the BREW platform is adopted and accepted by consumers and applications developers, change in economic conditions of the various markets Qualcomm serves, as well as the other risks detailed from time to time in Qualcomm's SEC reports, including the report on Form 10-K for the year ended September 24, 2000, and most recent Form 10-Q.

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