Sep 25, 2000SAN DIEGO
Qualcomm products mentioned within this press release are offered by Qualcomm Technologies, Inc. and/or its subsidiaries.
SAN DIEGO and CAMBRIDGE, ONTARIO -- September 25, 2000 -- Qualcomm Incorporated (Nasdaq: QCOM) and COM DEV International Ltd. (TSE: CDV) today announced that they have entered into a series of license and technology transfer agreements covering Qualcomm's High Data Rate (HDR) technology that will advance and support the development of COM DEV's new, mobile high-speed wireless Internet system. These multi-million dollar agreements include an HDR technical design transfer agreement and royalty-bearing licenses for HDR infrastructure equipment and Code Division Multiple Access (CDMA) modem cards. As part of the agreement, Qualcomm will make an equity investment in COM DEV. COM DEV designs and manufactures leading-edge wireless systems and subsystems for major global wireless, cellular telephone and PCS system vendors worldwide and is the largest Canadian-owned designer and manufacturer of space hardware subsystems.
Under the terms of the agreements, Qualcomm will provide for the transfer of certain HDR infrastructure designs and COM DEV will have the rights to utilize HDR technology in base stations and mobile modem cards of its soon to be launched high-speed wireless Internet system.
"COM DEV's expertise in manufacturing wireless infrastructure equipment makes this relationship an ideal step toward the deployment of HDR and supports Qualcomm's vision of providing CDMA-enabled devices with innumerable applications to consumers and businesses worldwide," said Marvin Blecker, senior vice president of technology transfer for Qualcomm. "Qualcomm welcomes and supports COM DEV's entrepreneurial application of Qualcomm's HDR technology in its new high-speed wireless Internet product. Our discussions led to a decision to make an equity investment in the company to encourage and foster the expansion of innovative CDMA and HDR applications. We look forward to working with COM DEV."
"COM DEV is pleased to establish this strategic relationship with Qualcomm," said Keith Ainsworth, president and CEO of COM DEV International. "Qualcomm's HDR technology will make COM DEV's high-speed wireless Internet system a viable wireless alternative to DSL and Cable Modem services. COM DEV recognizes the growing demand for wireless Internet services and we are delighted to work with Qualcomm to fulfill that demand through CDMA."
COM DEV International Ltd. (www.comdev.cc) is a leading producer of wireless infrastructure and the largest Canadian-owned designer and manufacturer of space hardware subsystems. It operates through two divisions: COM DEV Wireless and COM DEV Space that together employ more than 1,200 people at facilities in Ontario and New Brunswick, Canada; the United States; the United Kingdom; and China. COM DEV Wireless designs and manufactures leading-edge wireless systems and subsystems that enjoy broad acceptance among global wireless, cellular telephone and PCS system vendors. System products include Soft Radios and broadband wireless Internet products. Subsystem products comprise signal conditioning equipment that play a critical role in the performance of every cellular base station in which they are installed. Typically, these products are provided as cost-effective assemblages that integrate signal filtering, signal amplification and alarm monitoring in a single compact electronics package. COM DEV Space manufactures advanced products and subsystems that are sold to the major satellite prime contractors for use in commercial communications and earth science satellites.
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 telecommunications 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 80 telecommunications equipment manufacturers 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.
Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including the Company's ability to successfully design and have manufactured significant quantities of CDMA components on a timely and profitable basis, the extent and speed to which CDMA is deployed, 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.