Press Release

Qualcomm Extends Kenwood Corporation's CDMA License for 3G CDMA

Feb 12, 2001SAN DIEGO

Qualcomm products mentioned within this press release are offered by Qualcomm Technologies, Inc. and/or its subsidiaries.

SAN DIEGO -- February 12, 2001-- Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, today announced an amendment to Kenwood Corporation's existing CDMA subscriber unit license agreement which expands the licenses under Qualcomm's CDMA patent portfolio to include the development, manufacture and sale of subscriber equipment for third-generation (3G) CDMA (i.e., cdma2000, cdma2000 1xEV, TD-SCDMA and WCDMA) products. Prior to the amendment, Kenwood's CDMA license covered only cdmaOne™ applications. Under the terms of the amendment, Kenwood will pay Qualcomm a license fee and ongoing royalties at the same rates for 3G as they paid for second generation equipment, irrespective of the licensed CDMA standard.

"Qualcomm is pleased to extend its essential patent portfolio for 3G to Kenwood for the development of advanced CDMA wireless communications products and help fulfill the demand for next-generation mobile computing," said Steve Altman, president of Qualcomm Technology Alliances. "We expect Kenwood to make significant contributions to the rapidly expanding CDMA marketplace."

"This license agreement will allow Kenwood to expand its product offerings and provide our customers with high-quality, high-performance CDMA wireless solutions," said Mr. Yasunobu Namiki, director and general manager of legal for Kenwood Corporation. "Kenwood is excited to continue working with Qualcomm and participate in the third-generation CDMA market."

As a leading manufacturer of home and car audio components, car navigation systems, mobile phones and communications systems, Kenwood is boundless in its exploration of the information technology era. With its newly developed digital products, Kenwood readily accommodates today's communication-oriented lifestyles to satisfy users around the world.

Qualcomm Incorporated ( 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 circuitsand system software; technology licensing; Eudora® e-mail 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 95 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.


Qualcomm, OmniTRACS and Eudora are registered trademarks, and OmniExpress is a trademark of Qualcomm Incorporated. cdmaOne is a trademark of the CDMA Development Group. Globalstar is a trademark of Loral Qualcomm Satellite Services, Incorporated. Windows is a registered trademark of Microsoft Corp. Macintosh is a registered trademark of Apple Computer Inc. All other trademarks are the property of their respective owners.