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Qualcomm Acquires U.K.-based Mobile Content Delivery Leader ELATA

Deal Further Extends Qualcomm’s European Reach and Reaffirms Commitment to Support All Open Wireless Data Standards for Operators Around the World

– August 17, 2005 – Qualcomm Incorporated (Nasdaq: QCOM), a leading developer and innovator of Code Division Multiple Access (CDMA) and other advanced wireless technologies, today announced it has acquired ELATA, a global leader in mobile content delivery software, based in the United Kingdom. ELATA's software products provide operators with innovative solutions for managing, delivering and marketing rich wireless content. By combining ELATA's wireless content delivery system, the senses product, with Qualcomm's BREW® solution, operators have access to an extensive and modular offering of wireless data solutions and services. This new unified delivery system also allows operators with existing wireless data solutions to improve and expand upon management, delivery and marketing of wireless content, while maintaining backwards compatibility with their current devices through open standards interfaces. Qualcomm paid approximately $57 million in cash for ELATA.

The new unified delivery system is platform-agnostic, allowing operators to consolidate all of their content services with support for all device platforms. Under a single service delivery framework, a broad array of content can be unified and managed, including ringtones, wallpapers, and BREW, Java®, streaming and OMA-compliant content - for the full range of feature phones and smartphones on operators' WCDMA (UMTS®), GSM and CDMA2000® networks. For example, an operator may offer applications and services to its subscribers that have been developed in multiple programming languages and are delivered via many different systems to the handset. With a unified system, the delivery of all content is streamlined and, in addition to creating a more seamless, standardized user experience, an operator's costs are reduced and the operator is in a better position to bring new content and services to market much more rapidly.

“Qualcomm's acquisition of ELATA is a further demonstration of the Company's commitment to offering operators in Europe and around the world an innovative and flexible set of solutions for managing and delivering wireless content,” said Peggy Johnson, president of Qualcomm Internet Services. “The benefits of this acquisition are threefold - supporting the overall delivery of content while maintaining backwards compatibility with operators' current devices through open standards; strengthening our commitment to meeting the needs of operators worldwide; and quickly bringing new value-added services to market without additional hardware requirements.”

“Both Qualcomm and ELATA share a common vision of helping operators and service providers to advance the proliferation of feature-rich mobile content in Europe and beyond,” said Stephen Dunford, CEO of ELATA. “We will be able to bring the benefits of our joint technologies to worldwide markets, either by strengthening an operator's existing service delivery offering or by helping to quickly establish a solution that increases the choice, uptake and revenues from wireless content.”

ELATA has been a pioneer in the development of over-the-air (OTA) delivery technology for wireless applications and content since 2000 and today leads the market with its ELATA senses media content delivery system. Nomura International acted as financial advisor to the shareholders of ELATA.

Qualcomm's BREW solution is an established offering of products and services for wireless operators, handset manufacturers, publishers and developers around the world. The BREW solution includes an extensible client platform for supporting personalized and branded user interfaces via uiOne™, the deliveryOne™ suite of products which features scalable J2EE™ environments for delivering and monetizing wireless content and a dedicated professional services team that supports customized implementations for wireless data services.

Qualcomm Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on CDMA and other advanced technologies. Headquartered in San Diego, Calif., Qualcomm is included in the S&P 500 Index and is a 2005 FORTUNE 500® company traded on The Nasdaq Stock Market® under the ticker symbol QCOM.

Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including the extent and speed to which the BREW solution is adopted and deployed, change in economic conditions of the various markets the Company serves, 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 26, 2004, and most recent Form 10-Q.
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Topics: Corporate
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