SAN DIEGO -- June 17, 2002 -- Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, today announced an expansion of E-RON Technologies Corporation's (formerly QM TEL Company, Ltd.) existing worldwide CDMA modem card license agreement. Under the terms of the multi-million dollar, royalty-bearing agreement, Qualcomm has granted E-RON a license that expands its existing licenses under Qualcomm's CDMA technology and patents to also include rights to design, develop and sell mobile subscriber units and knockdown kits for cdmaOne™ and CDMA2000 1X/1xEV-DO systems. As part of the agreement, Qualcomm is taking an equity investment in E-RON in lieu of a portion of the up-front license fee payments. The financial terms of the agreement were not disclosed.
"Qualcomm is pleased to expand E-RON Technologies' license to include mobile subscriber units and knockdown kits consisting of all of the parts necessary to build a complete handset," said Marvin Blecker, senior vice president and general manager of technology licensing for Qualcomm. "Qualcomm is continuously seeking to fully enable companies to further the growth of CDMA for the use of high-quality voice and data services worldwide."
"This license agreement gives E-RON the opportunity to provide advanced knockdown kits to emerging markets throughout the world," said Edward Jeon, CEO, E Technologies Corporation. "We will now be able to enhance our product offerings to businesses and consumers, providing them with complete, high-speed voice and data wireless solutions."
E-RON Technologies Corporation is an innovator and manufacturer of next-generation digital wireless communications devices, venture-capitalized and listed in KOSDAQ (Korea Stock Exchange Market). E-RON's product line-up includes digital CDMA cellular phones, as well as data centric products based on its own CDMA engine technology. E-RON's recent successful story in China cellular phone industry was based on strong engineering resources and it's cost- effective manufacturing facility in Seoul, Korea, as well as fully experienced international sales forces. E-RON Technologies Corporation is positioning itself to be the leading provider of wireless communication devices with turnkey operation for OEM, ODM and consignment production.
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 chipsets and system software; technology licensing; the Binary Runtime Environment for Wireless™ (BREW™) applications platform; QChat(tm) push-to-talk technology; Eudora® e-mail software; digital cinema systems; and satellite-based systems including portions of the Globalstar(tm) 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 100 telecommunications equipment manufacturers worldwide. Headquartered in San Diego, Calif., Qualcomm is included in theS&P500 Index and 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 30, 2001, and most recent Form 10-Q.