Qualcomm Incorporated (NASDAQ: QCOM)today announced that it has changed the name of its OmniTRACS Division toQualcomm Wireless Business Solutions (QWBS) and has strategic plans toenter new wireless data markets around the world. By leveraging Qualcomm'sCode Division Multiple Access (CDMA) digital wireless technology and othercomplementary technologies, the group's vision is to bring wireless datasolutions to businesses worldwide by developing new products and expandinginto other markets. While maintaining its focus on the long-haul truckloadindustry with the OmniTRACS® and TruckMAIL product lines, QWBS will developnew products targeted at other areas of freight transportation, as well asother businesses with a need for mobile data. Qualcomm currently has indevelopment terrestrial-based products designed to connect to cargocapacity, such as untethered TrailerTRACS® and a communications producttargeted at short-haul industry, and pick-up and delivery fleets. Theseproducts and others will have the potential to give cellular carriers theopportunity for additional network airtime.
According to Phil White, senior vice president and general manager ofQualcomm Wireless Business Solutions, "Our mission is to build integratedwireless data solutions that will forge competitive advantages for both ourcurrent and new customers. The reason for the name change is simple -- weare no longer a one product line business group and we are broadening ourdirection. Our new name is better aligned with our strategic plan andcorporate charter of building wireless systems around the world. We haveenjoyed success in the domestic truckload segment with the OmniTRACSsystem, and believe we can apply our core competencies and offer new,innovative wireless solutions to other businesses." White added, "We willcontinue to support existing products and develop new ones, bringing thefinest products and services to our trucking customers such as TruckMAIL,untethered TrailerTRACS and Internet-based host applications."
Introduced in 1989, the OmniTRACS system revolutionized the manner in whichtrucking companies do business around the world. This cost-effectivesystem provides data transmission and position reporting services to over800 trucking companies and other mobile customers including railroad andmaritime fleets. Part of the reason for this system's success is thesuperior operation of its Network Service Center (NSC) in San Diego, Calif. Staffed 24 hours a day, 365 days a year, Qualcomm's state-of-the-art NSCprocesses over four million transactions each day and is unsurpassed in theindustry. To ensure system reliability, the center maintains fullyredundant computer systems. A duplicate backup center in Las Vegasprovides additional system safeguards to assure continuing service in thecase of natural disasters or other emergencies. Qualcomm has sold over250,000 OmniTRACS terminals worldwide, with systems operating in the UnitedStates, Canada, Europe, Japan, Brazil, Mexico, Korea and Malaysia.
Qualcomm plans to capitalize on its trucking industry success bypositioning itself to help other businesses move into the next millennium."We will continue to use leading-edge technology to deploy innovativewireless data solutions around the globe," said George Mansho, vicepresident and general manager of international business for QualcommWireless Business Solutions. "Internationally, we already have experienceaddressing customer needs in markets other than long-haul trucking which wehave traditionally dominated. Requirements like security are driving salesin these markets along with the basic need for data communications andpositioning. Our strategy is to continue to deliver solutions to ourpartners that give them a strong market advantage, to offer the samesolutions to new and potential markets like China and the Middle East, andto increase our penetration in regions where we already have a presence,such as Europe, Russia and South America."
To signify the new name and direction, Qualcomm has incorporated the theme"This Way to the Future" into its marketing activities at the AmericanTrucking Associations Management Conference&Exhibition in New Orleans,October 25-28. Qualcomm will be demonstrating some of its current andupcoming products including OmniTRACS, TruckMAIL, TrailerTRACS® andCabCARD®, as well as the complete suite of vehicle information reportingsystems.
Headquartered in San Diego, Qualcomm develops, manufactures, markets,licenses and operates advanced communications systems and products based onits proprietary digital wireless technologies. The Company's primaryproduct areas are the OmniTRACS® products, CDMA wireless communicationssystems and products and, in conjunction with others, the development ofthe 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 andcommercial customers worldwide. For more information on Qualcomm productsand technologies, please visit the Company's Web site athttp://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, change in economicconditions of the various markets the Company serves, as well as the otherrisks detailed from time to time in the Company's SEC reports, includingthe report on Form 10-K for the year ended September 28, 1997 and mostrecent Form 10-Q.
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Qualcomm, OmniTRACS, Eudora and Eudora Pro are registered trademarks of Qualcomm Incorporated. Globalstar is a trademark of Loral Qualcomm Satellite Services, Incorporated.
October 26, 1998October 26, 1998