Whippany, N.J. -- April 25, 2000 -- Edging closer towards bringing to market standards-compliant third generation (3G) wireless solutions to deliver the "mobile" Internet, Lucent Technologies (NYSE: LU) and Qualcomm Incorporated (Nasdaq: QCOM) today announced that their collaboration on 3G wireless data technology has successfully yielded the first live transmissions of over-the-air data using cdma2000-1x technology.
In compliance with the 3G cdma2000-1x standard, known as IS-2000, 153 kilobits per second (kbps) transmission was demonstrated with a streaming video application.
This faster data rate will give mobile phone users the ability to use their handsets to access a range of high-speed, data-rich applications that will include web browsing, streaming video and audio, web teleconferencing and other new, emerging data applications. This compares to current North American wireless data networking speeds ranging from 9.6 kbps to 14.4 kbps, which can only support text-based messages and information.
Verizon Wireless, a wireless provider recently formed by the combination of the U.S. wireless businesses of Bell Atlantic Corp. and Vodafone AirTouch plc, will implement the technology as part of a pilot test bed beginning in June.
"This demonstration is proof that CDMA provides the most cost-efficient, graceful evolution to 3G services, exceeding all other competing digital standards," said Bill Stone, executive director network planning for Verizon Wireless. "We look forward to conducting field trials this summer with Lucent, device manufacturers and content providers. Our plan is to make these data access speeds available to customers sometime next year."
In addition to proving data transmission rates that are nearly ten-fold greater than what is available on North American mobile networks today, the Lucent-Qualcomm collaboration provides wireless network operators with a solution that effectively doubles the voice capacity of their Lucent-supplied networks. The network upgrades involve only circuit card replacements and a software upgrade without the need for new base stations.
The key improvement in achieving this industry milestone is made possible by using Qualcomm CDMA Technologies' CSM5000™ Cell Station Modem (CSM™) in Lucent Flexent™ base stations. The new CSM5000 chip and system software speeds up digital signal processing and supports the new 3G 1x Physical Layer standard while preserving existing radio frequency (RF) components. Also used in this live system demonstration was Qualcomm's 3G 1x Mobile Handset Development Platform featuring the MSM5000™ chipset and system software.
"With Qualcomm providing our enabling technology, we're proving that Lucent is ahead of the pack in bringing the benefits of next-generation networking to market," said Bill Wiberg, president of Lucent's cellular and PCS Networks. "Our Flexent wireless networks are easily upgradeable by carriers planning for greater capacity and faster transmission speeds for their mobile Internet service. We are responding to our customers' requirements to protect current investment while offering evolutionary improvements that are compatible with their existing networks."
Commenting on the speed with which Lucent and Qualcomm completed their integration project, Don Schrock, president of Qualcomm CDMA Technologies, said: "We're delighted by the excellent teamwork and execution that has so rapidly produced a proven solution that's ready to be deployed in Lucent's high-quality base station systems. This outcome stands to reason when world-class leaders in their respective fields join forces in an open, market-driven competition to deliver new solutions to customers."
Lucent and Qualcomm had demonstrated live over-the-air voice calls on CDMA2000-1x to visiting customers beginning in February, and are now hosting customer visits to showcase their accomplishment with high speed data.
Lucent Technologies, headquartered in Murray Hill, N.J., USA, designs and delivers the systems, software, silicon and services for next-generation communications networks for service providers and enterprises. Backed by the research and development of Bell Labs, Lucent focuses on high-growth areas such as optical and wireless networks; Internet infrastructure; communications software; communications semiconductors and optoelectronics; Web-based enterprise solutions that link private and public networks; and professional network design and consulting services. For more information on Lucent Technologies, visit its Web site at http://www.lucent.com.
Qualcomm CDMA Technologies is the leading developer and supplier of CDMA chipsets, hardware and software solutions, and tools with more than 90 million MSM chips shipped worldwide. The division supplies chipsets to the world's leading CDMA handset and infrastructure manufacturers.
Qualcomm Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on the Company's CDMA digital technology. The Company's business areas include integrated CDMA chipsets and system software; technology licensing; Eudora® email software for Windows® and Macintosh® computing platforms; satellite-based systems including portions of the Globalstar™ system and wireless fleet management systems, OmniTRACS® and OmniExpress™. Qualcomm owns patents which are essential to all of the CDMA wireless communications standards that have been adopted or proposed for adoption by standards-setting bodies worldwide. Qualcomm has licensed its essential CDMA patent portfolio to more than 75 telecommunications equipmentmanufacturers worldwide. Headquartered in San Diego, Calif., Qualcomm is included in theS&P500 Index and is a 2000 FORTUNE 500® company traded on the Nasdaq Stock Market® under the ticker symbol QCOM.
Qualcomm SAFE HARBOR STATEMENT: 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, 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 26, 1999, and most recent Form 10-Q.