SAN DIEGO -- January 26, 2001 -- Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, today announced an amendment to United Computer and Telecommunications Inc.'s (UCT) existing CDMA modem card and GPS terminal license agreement. Prior to the amendment, UCT's CDMA license only covered cdmaOne™ products. Under the terms of the royalty-bearing amendment, Qualcomm has granted UCT a license that expands the licenses under Qualcomm's CDMA patent portfolio to include the design and market of third-generation (3G) CDMA (cdma2000, cdma2000 1xEV, TD-SCDMA, WCDMA) modem cards and GPS terminals. The royalties payable by UCT are the same for 3G as those for second-generation equipment, irrespective of the licensed CDMA standard.
"The amendment will allow UCT to participate in the 3G CDMA market and fulfill the demand for high-quality, high-performance CDMA voice and data wireless solutions," said Marvin Blecker, senior vice president of technology transfer for Qualcomm. "We are pleased with UCT's decision to expand their CDMA license, which is another illustration of the value of Qualcomm's essential patent portfolio for all proposed 3G CDMA standards."
"This agreement demonstrates UCT's commitment to develop and enhance its products for wireless communications and mobile computing," said Dr. Soon B. Shin, president, United Computer and Telecommunications. "By integrating third-generation CDMA into our future products, we believe that we will succeed in meeting the growing demand for wireless mobile access for consumers and businesses worldwide."
UCT is a leading developer and manufacturer of CDMA wireless Internet modems and GPS receivers. The Company is headquartered in Irvine, Calif., and operates in three countries. The U.S. operation is specialized in design and development of GPS receivers for CDMA base station manufacturers. It is being expanded to add the design capability of cdma2000 wireless modem products and applications. AnyDATA.NET, a subsidiary of UCT in Korea, is a world leader in designing and manufacturing of CDMA wireless modems, which have been used in LGT, Hyundai Automobiles and Korea Power Utility Co. The China operation supports local GPS receiver customers and will be expanded to add WCDMA handset design capability. UCT is a private company and well-positioned to grow rapidly with the expansion of CDMA wireless data market and new CDMA infrastructure market in China.
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 CDMA integrated circuits and system software; technology licensing; Eudora® email software for Windows® and Macintosh® computing platforms; digital cinema systems; and satellite-based systems including portions of the Globalstar™ system and wireless fleet management systems, OmniTRACS® and OmniExpress™. Qualcomm owns patents that 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 90 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 24, 2000, and most recent Form 10-Q.