Press Release

Leading Bulk Tank Carrier Selects Qualcomm Technology

Jan 2, 1997SAN DIEGO

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

Qualcomm Incorporated (NASDAQ:QCOM) announced the installation of 1,174 OmniTRACS® mobile communications units on Wilmington, Del.-based Matlack Systems, Inc. (NYSE:MLK) vehicles. This contract with Matlack marks a significant entry for Qualcomm into the tank truck industry, a transportation industry segment that has been slow to accept mobile communications technology. Total installation of the entire contract amount was completed within 30 days of signing.

After evaluating the leading mobile communications systems, Matlack decided to purchase the OmniTRACS system because of its emphasis on data generation and its ability to integrate with Matlack's new state of the art service management and operating system. "Being able to integrate the data taken from the mobile communications system directly into our operating system was a top priority," said Michael O'Donaghue, vice president of information systems for Matlack. "With the OmniTRACS system, we're able to automatically incorporate data taken from the trucks into our operating system without having to change our interface and with little human interaction."

With over 100 facilities in North America and more than 25 strategic international partners, Matlack is an ISO 9002 certified company that places great importance on safety, quality and customer service. "In 1995 we concentrated on replacing more than 900 older tractors with new ones," said O'Donaghue. "In 1996 we're concentrating on advanced technology. Traditionally the tank industry has been hesitant to embrace new technology, but in order to fulfill the increasing demands of our customers we knew 1996 was the year to make our move. Qualcomm's track record in the industry motivated us to investigate, but the superior quality of its product and excellent customer service motivated us to purchase."

"Integration capabilities are very important," said John Sarto, senior vice president and general manager of Qualcomm's OmniTRACS division. "We realize most companies already have operating systems in place and unless a mobile communications system can fully integrate with the existing operating system a great deal of time and money will be spent before the full benefits of technology can be achieved. We're glad Matlack put us to the test and look forward to the future with this quality company."

Qualcomm's family of OmniTRACS products includes the OmniTRACS mobile communications and position reporting system; 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, Malaysia and Korea.

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.

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