SAN DIEGO - January 8, 2001 - Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, today announced an amendment to Synertek's existing CDMA subscriber unit license agreement which expands the licenses of Synertek's Affiliates (Wide Telecom Co., Ltd., Telson Electronics Co., Ltd., Standard Telecom Co., Ltd., and Sewon Co., Ltd.) under Qualcomm's CDMA patent portfolio to include the development, manufacture and sale of subscriber units, CDMA modem cards and subscriber unit knockdown kits for second and third-generation (3G) CDMA (i.e., cdma2000, WCDMA and TD-SCDMA) products. Prior to the amendment, Synertek's CDMA license covered only cdmaOne( subscriber units. Under the terms of the amendment, Synertek will pay Qualcomm a multi-million dollar license fee and ongoing royalties at the same rates for 3G as those for cdmaOne equipment, irrespective of the licensed CDMA standard.
"This license agreement will allow Synertek's Affiliates to support advanced 3G wireless voice and data communications solutions," said Marvin Blecker, senior vice president of technology transfer for Qualcomm. "Qualcomm has essential patents for all the 3G CDMA standards and has now licensed some or all of its essential patents to more than 40 companies worldwide for the manufacture and sale of 3G products, including, WCDMA, cdma2000, or TD-SCDMA. We are pleased that Synertek's Affiliates have chosen to provide next-generation products and services for the 3G CDMA market."
"Extending our license with Qualcomm demonstrates Synertek's Affiliates' commitment to developing enhanced 3G CDMA subscriber products for the mobile communications market," said Mr. S.S. Ham, president&CEO of Synertek. "Our product offerings can now be expanded to help fuel the growth of CDMA worldwide."
Synertek, Inc., a sister company of Synertek&Products, Inc., promotes the worldwide development, manufacturing and sale of CDMA subscriber products. Synertek is a holding company for its affiliates: Wide Telecom Co., Ltd., Telson Electronics Co., Ltd., Standard Telecom Co., Ltd., and Sewon Co., Ltd., and are leading companies in the telecommunications market for subscriber accessories and components. For more information, please visit our website at http://synertek-spi.koreasme.com/.
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; 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.
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