Press Release

PrimeCo Launches Nation's First CDMA Digital PCS System With Handsets From Qualcomm Personal Electronics

Qualcomm Personal Electronics, a joint venture between subsidiaries of Qualcomm Incorporated, (NASDAQ: QCOM) and Sony Electronics Inc., today announced their Code Division Multiple Access (CDMA) digital phones are now available from PrimeCo Personal Communications at the launch of the nation's largest CDMA Personal Communications Service (PCS) network. PrimeCo selected Qualcomm Personal Electronics' CDMA digital PCS phones to deliver all of the benefits oftheir new wireless services to customers nationwide.

PrimeCo's new digital wireless communications services are commercially available beginning Wednesday in Norfolk and Richmond, Va.; Jacksonville, Miami, Orlando, and Tampa, Fla.; Chicago; Milwaukee; New Orleans; Dallas, Fort Worth, Houston, and San Antonio, Texas; and Honolulu. Austin, Texas is scheduled to come on line later this year. PrimeCo's CDMA digital phones from Qualcomm Personal Electronics are available at Office Depot, Best Buy, Circuit City and Radio Shack locations nationwide, and PrimeCo's 33 retail stores in 12 cities.

The digital phones offered by PrimeCo utilize CDMA technology, developed by Qualcomm. The phones deliver extended talk and standby time and support enhanced features such as incoming caller ID, short messaging service and voice mail alert. Users are easily guided through the phones' operations through a user-friendly interface and soft-key menu. The phones' five-line liquid crystal display (LCD) uses icons to indicate signal strength, battery status, transmission mode, roaming status and other functions.

"At the launch of the nations first CDMA digital PCS network, we wanted to ensure our customers would realize all of the benefits PrimeCo has to offer. In choosing CDMA digital phones from Qualcomm Personal Electronics, we are confident our customers will have the latest advantages of digital CDMA technology, including enhanced voice quality, long-lasting battery life, more secure conversations and fewer dropped calls," said Benjamin L. Scott, president and CEO of PrimeCo Personal Communications.

"We congratulate PrimeCo on the successful nationwide launch of their CDMA digital PCS network," said Dr. Irwin M. Jacobs, chairman and CEO of Qualcomm. "Our lightweight portable CDMA digital PCS phones will deliver all of the benefits that CDMA has to offer, including wireline-quality voice, reduced background noise, extended talk and stand-by time, mobile fax and data transmission, short messaging service and more."

Based in San Diego, Calif., Qualcomm Personal Electronics is a joint venture of subsidiaries of Qualcomm Incorporated and Sony Electronics, Inc. Qualcomm Personal Electronics, which manufactures CDMA portable phones for cellular and PCS applications, leverages both companies' product, technology and manufacturing expertise. The phones are marketed and sold in the U.S. through Sony/Qualcomm CDMA Sales, a division of Qualcomm Personal Electronics, and throughout the world by Qualcomm and Sony.

The PrimeCo four-way wireless alliance was formed by AirTouch Communications, Bell Atlantic, NYNEX and US WEST in October 1994 to create the broadest market coverage in the industry. In addition, the partners formed PrimeCo Personal Communications, which successfully bid $1.1 billion for new PCS licenses in 15 major cities. Combined, the cellular and PCS properties of PrimeCo and its owners include serve nearly seven million domestic customers, operate in 39 of the top 50 U.S. markets, and cover a population base of nearly 170 million in 46 states and the District of Columbia.

Except for the historical information contained herein, this news release contains forward looking statements that are subject to risks and uncertainties, including timely product development, change in economic conditions of the various markets that Qualcomm serves, as well as the other risks detailed from time to time in Qualcomm's SEC reports, including the report of Form 10-K for the year ended September 24, 1995 and most recent Form 10-Qs.

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