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ZTE to Develop CDMA2000 Femtocells Based on Qualcomm System on Chip Solutions

– March 23, 2010 – ZTE Corporation (“ZTE”) (H share stock code: 0763.HK / A share stock code: 000063.SZ), a leading global provider of telecommunications equipment and network solutions, and Qualcomm Incorporated (Nasdaq: QCOM), a leading developer and innovator of advanced wireless technologies, products and services, today announced they have entered into a development agreement around femtocell technology. The terms of the agreement allow ZTE to access Qualcomm’s Femtocell Station Modem™ (FSM™) chipset platform in order to develop CDMA2000® femtocell products.

The unprecedented growth in mobile data consumption, driven by smartphones and other data intensive devices, has created the need for improved coverage and increased data throughput for subscribers. Up to 70 percent of wireless data originates indoors and femtocells allow operators to target areas where the solution is needed. Qualcomm’s FSM platform features flexible and fully integrated System on Chip (SoC) solutions consisting of baseband, RF and power management ICs coupled with commercial-grade software, resulting in femtocells with low power consumption and high levels of integration. This technology will allow operators to improve coverage, add capacity, increase data throughput and enhance the end user’s wireless experience while reducing operating costs in supporting mobile broadband applications.

“Femtocells improve the mobile data experience for users while driving down the cost per bit for operators,” said Ed Knapp, senior vice president of marketing, Qualcomm. “We are pleased to be working with ZTE in their efforts to bring femtocell products to market.”

“ZTE serves the world’s top mobile operators based on our ability to consistently deliver high-quality and high-capacity network performance,” said Li Jian, general manager, CDMA product line, ZTE. “Our ongoing relationship with Qualcomm will enable us to bring leading-edge femtocell technology and small base station products to market. We look forward to collaborating with them on this technology.”

Qualcomm’s FSM platform supports the full range of 3GPP and 3GPP2 modem features contained within the baseband SoC while also integrating network listen, GPS, crypto acceleration, Ethernet and a host CPU to support all protocol stack and radio network controller functions within the access point. The integrated RF device features multiple receiver channels that enable traffic, beacon GPS and network listen functions to operate simultaneously. The RF devices support all major wireless bands for both 3GPP and 3GPP2, and the FSM platform features innovative interference management techniques between femtocells and the macro network. The target markets for the ZTE-developed product are mainly in North America and China, helping operators supply better services to home users and enterprise users.

About ZTE
ZTE is a leading global provider of telecommunications equipment and network solutions. It has the widest and most complete product range in the world – covering virtually every sector of the wireline, wireless, service and terminals markets. The company delivers innovative, custom-made products and services to over 500 operators in more than 140 countries, helping them to achieve continued revenue growth and to shape the future of the world’s communications. ZTE commits around 10 percent of its annual turnover to research and development and takes a leading role in a wide range of international bodies developing emerging telecoms standards. ZTE leads China’s 3G industry with about 30 percent share of the total 3G equipment market in 2008. A company with sound corporate social responsibility (CSR) initiatives, ZTE is a member of the UN Global Compact that strictly adheres to the Ten Principles of the Global Compact in developing and carrying out CSR programs. ZTE is China’s only listed telecoms manufacturer, with shares publicly traded on both the Hong Kong and Shenzhen Stock Exchanges (H share stock code: 0763.HK / A share stock code: 000063.SZ). For more information, please visit www.zte.com.cn

About Qualcomm
Qualcomm Incorporated (Nasdaq: QCOM) 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 100 Index, the S&P 500 Index and is a 2009 FORTUNE 500® company. For more information, please visit Qualcomm around the Web:

www.qualcomm.com
Blog: www.qualcomm.com/blog
Twitter: www.twitter.com/qualcomm
Facebook: www.facebook.com/qualcomm

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Topics: CDMA2000, Femtocell
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