Press Release

Qualcomm Broadens Its Reach in the Utility Market as PG&E Purchases the OmniTRACS® System

Dec 4, 1996SAN DIEGO

Qualcomm products mentioned within this press release are offered by Qualcomm Technologies, Inc. and/or its subsidiaries.

Qualcomm Incorporated (NASDAQ: QCOM) today announced the signing of a contract with Pacific Gas and Electric Company (PG&E) to equip 200 of its field service vehicles with Qualcomm's OmniTRACS® communications and tracking system. This contract expands Qualcomm's presence in the utility market. The OmniTRACS system's satellite-based technology will provide PG&E, one of the nation's largest utilities, with the ubiquitous coverage needed to serve more than 13 million customers in more than 200 communities throughout northern and central California. Installation is currently underway, with completion expected in 1997.

Under a dual contracting arrangement, San Francisco-based PG&E will secure messaging services directly from Qualcomm. British Columbia-based MDSI Mobile Data Solutions Inc. (MDSI), a leading provider of application and wireless connectivity solutions to the utility industry, serves as both the system integrator and software provider for PG&E's Field Automation Project and provides the interface to Qualcomm's OmniTRACS Network Management Center.

"We recognize that to remain competitive in today's marketplace, we must offer superior customer service," said Tony Durante, project manager for PG&E. "Using the OmniTRACS system, in conjunction with MDSI, ensures that any PG&E customer, whether located in a metropolitan area, such as San Francisco, or in a more rural locale, such as the Sierra foothills, will receive timelier service."

"This contract with PG&E further demonstrates the versatility of the OmniTRACS system to satisfy an ever-growing spectrum of mobile communications needs," said John Sarto, senior vice president and general manager of Qualcomm's OmniTRACS Division. "We are extremely pleased that our open architecture allows us to integrate with MDSI's software to meet PG&E's very specific needs."

The OmniTRACS system seamlessly interfaces with PG&E's pen-based mobile computers and its host computer. Its real-time capabilities will enable PG&E's field service representatives to send customer order status information to its dispatch and call centers to greatly improve customer service and emergency response time.

Qualcomm's family of OmniTRACS products includes the OmniTRACS mobile communications and position reporting system; value-added application software designed to enhance existing operations; transportation and business solutions; and information management systems. Qualcomm has sold more than 175,000 OmniTRACS units worldwide, with systems operating in the United States, Canada, Europe, Brazil, Mexico, Japan, Korea and Malaysia.

Headquartered in San Diego, Qualcomm develops, manufactures, markets, licenses and operates advanced communications systems and products based on its proprietary digital wireless technologies. The Company's primary product areas are the OmniTRACS® system (a geostationary satellite-based, mobile communications system providing two-way data and position reporting services), CDMA wireless communications systems and products and, in conjunction with others, the development of the Globalstar? low-earth-orbit (LEO) satellite communications system. Other Company products include the Eudora Pro? electronic mail software, ASIC products, and communications equipment and systems for government and commercial customers worldwide. For more information on Qualcomm products and technologies, please visit the Company's web site at

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 and commercial implementation of the Company's CDMA technology, continued growth in the CDMA subscriber population and the scale up and operations of CDMA systems, timing and receipt of license fees and royalties, the Company's ability to successfully manufacture significant quantities of CDMA or other equipment on a timely and profitable basis and those related to performance guarantees, 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 28, 1996 and most recent Form 10-Qs.

# # #

Qualcomm, OmniTRACS and Eudora are registered trademarks and Eudora Pro are trademarks of Qualcomm Incorporated. Globalstar is the trademark of Globalstar, L.P.