ORLANDO, Fla. - September 23, 1998 - Qualcomm Incorporated (NASDAQ: QCOM),pioneer and world leader of Code Division Multiple Access (CDMA) digitaltechnology, today announced it will demonstrate one of the fastest, mostefficient wireless data technologies to date. The new, highly efficientHigh Data Rate (HDR) wireless technology has been designed specifically towork with existing cdmaOne™ networks. HDR technology will enable cdmaOneservice providers worldwide to offer evolved, high-speed data services,with peak data rates greater than 1.5 megabits per second (Mbps), enhancingtheir investment in current cdmaOne networks. Qualcomm will introduce thenew HDR technology at a technology unveiling at the PCS '98 show inOrlando, Fla.
Because an HDR-capable handset leverages the same components as a voicephone, its cost will reflect the economies of scale of the millions of CDMAphones that have been shipped to date. Operating within standard spectrumallocations, HDR provides wireless operators the ability to deploycost-effective, high-speed wireless Internet access. For a low,incremental cost, existing cdmaOne networks can support HDR capabilitiesusing existing infrastructure equipment and network plans. The HDRinitiative is part of Qualcomm's overall strategy of providing the marketwith a variety of innovative solutions that will continue to advance thecapabilities of rapidly growing cdmaOne wireless systems worldwide.
HDR's compatibility with existing cdmaOne equipment and networks affordsoperators the lowest cost migration path to provide megabit speed wirelessInternet access to consumers. Using the new HDR technology, consumers willbe able to achieve peak data rates greater than 1.5 Mbps, which is morethan 25 times faster than today's 56 Kbps wireline modems. HDR technologyis approximately five to six times more spectrally efficient for data thancdmaOne, today's most spectrally efficient wireless technology.
In addition to providing high speed packet data transfers, HDR technologyis also ideal for operators who wish to deliver wireless data services to alarge number of users in a given area. By optimizing voice and dataspectrum separately, cdmaOne service providers can obtain higher capacitiesand superior performance for both applications on the same network. HDRdelivers more efficient Internet access, email, data transfers, andmessaging applications while handling multimedia applications such as audioand video file transfers that require high data transfer speeds.
"HDR demonstrates Qualcomm's continued leadership in developing new CDMA-based wireless technologies that deliver superior, affordable solutions forcarriers and consumers alike," said Dr. Irwin M. Jacobs, chairman and chiefexecutive officer of Qualcomm. "Unlike other proposed high-speed datasolutions, HDR will allow carriers to leverage their investments inexisting cdmaOne networks and offers them an excellent opportunity forearly commercial deployment."
"With Qualcomm's new HDR technology, cdmaOne networks can be optimized fordata applications to offer very high data capacities, unprecedentedspectral efficiency and compatibility with existing cdmaOne networks," saidJohn E. Major, executive vice president of Qualcomm and president of theWireless Infrastructure Division. "HDR is an ideal solution for wirelessoperators, Internet service providers and existing landline serviceproviders who wish to expand their customer base with a wireless dataoffering."
"HDR technology provides a high-speed data conduit to a singlecommunication device that can be used in the home, office and on the road,"said Dr. Paul E. Jacobs, president of Qualcomm Consumer Products. "Thesimplest way for consumers to obtain high speed Internet access may bethrough an HDR-capable handset. As widespread deployment of the technologyand consumer adoption of HDR-capable handsets accelerates, so too will theconvergence of computing and wireless telephony."
Qualcomm continues to lead the evolution of cdmaOne data services,supporting today's standards with a full line of ASIC, handset andinfrastructure products. As the pioneer of CDMA technology, Qualcommcontinues to invest in research, development and standardization of newCDMA features and services. In addition to providing handset andinfrastructure equipment, Qualcomm intends to offer HDR-enabled cdmaOnemodules and chipsets to its more than 60 licensees worldwide. Field trialsof the new HDR technology are expected to begin in early 1999.
Headquartered in San Diego, Calif., Qualcomm Incorporated develops,manufactures, markets, licenses and operates advanced communication systemsand products based on its proprietary digital wireless technologies. TheCompany's primary product areas are the OmniTRACS® system (a geostationarysatellite based, mobile communications system providing two-way data andposition reporting services), CDMA wireless communications systems andproducts and, in conjunction with others, the development of Globalstar™low-earth-orbit (LEO) satellite communications system. Other Companyproducts include the Eudora Pro® electronic mail software, ASIC products,and communications equipment and systems for government and commercialusers worldwide. For more information, please visithttp://www.qualcomm.com/.
Except for the historical information contained herein, this news releasecontains forward-looking statements that are subject to risks anduncertainties, including timely product development and commercialimplementation of the Company's products, as well as the other risksdetailed from time to time in the Company's SEC reports, including thereport on Form 10-K for the year ended September 28, 1997 and most recentForm 10-Q.
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