Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, and the cellular operators that form the joint venture between Portugal Telecom and Telefonica Moviles in Brazil with more than 16.8 million subscribers, announced that the companies have signed a definitive agreement for the commercial launch of wireless application services powered by Qualcomm's BREW solution. The joint venture plans to roll out applications and services based on the Binary Runtime Environment for Wireless™ (BREW) platform on its high-speed data network in March, at which time consumers will be able to easily download applications over-the-air virtually anytime, anywhere.
The joint venture between Portugal Telecom and Telefonica Moviles has a history of firsts in Latin America; first to commercially launch data services with WAP, first to launch a CDMA2000 1X network, first to conduct a trial of BREW wireless data services, and now, first to launch BREW-enabled commercial services.
"The success of the BREW trial in the Brazilian market demonstrates that BREW-enabled services continue to be a leading catalyst for consumer adoption of wireless applications," stated Dr. Paul E. Jacobs, group president, Qualcomm Wireless&Internet Group. "With BREW as the foundation, the joint venture will give the Brazilian mobile community a powerful and personalized wireless experience that is unrivaled in Latin America."
"We are proud pioneers of BREW in Latin America. The BREW platform will serve as the springboard to a compelling, fun and useful wireless experience for our customers," stated Luis Avelar, vice president for products and services engineering for the joint venture. "Based on the overwhelmingly positive feedback from our initial market trial, we are confident in the growth potential of our BREW-enabled service. The services will build stronger competitive advantages of our operations over our TDMA and GSM competitors."
The joint venture's BREW services will take advantage of the joint venture's next-generation CDMA2000 1X network, nearly doubling voice capacity and capable of supporting data transfer speeds up to 144 kbps. Customers will initially be able to select from two BREW-enabled handsets, the Motorola T720 and Audiovox/Toshiba CDM9500 with models from Samsung, LG, Kyocera and others offered at a later date. There will be a wide array of game, entertainment, communications, productivity and business applications available to download. These applications have been developed by developers around the world. Some of these applications include WIZ Mail, Photo Album, Ringtones, Wall Paper, Via Rio, Sensual Club and games such as Navy Battle and Arkanoid.
The joint venture between Portugal Telecom and Telefonica Moviles along with Verizon Wireless and ALLTEL in the United States, KTF in South Korea and KDDI in Japan have launched commercial BREW-based services. U.S. Cellular has launched a BREW user trial and China Unicom announced its plans to launch BREW-based services in China in the first half of 2003. Thirty-two BREW-enabled handset models are already available to consumers worldwide, and 33 device manufacturers have indicated their interest in the BREW platform.
Qualcomm's BREW platform is a thin application execution environment that provides an open, standard platform for wireless devices. The BREW platform is part of a complete, end-to-end solution for wireless applications development, device configuration, application distribution, and billing and payment. The complete BREW solution includes the BREW SDK (software development kit) for developers, the BREW applications platform and porting tools for device manufacturers, and the BREW Distribution System (BDS) that is controlled and managed by operators ? enabling them to easily get applications from developers to market and coordinate the billing and payment process. Operators' BREW-based services will enable consumers to customize their handsets by downloading applications over the air from an operator's application download server. The BREW platform is a product of Qualcomm Internet Services (QIS), a division within the Qualcomm Wireless&Internet (QWI) Group of Qualcomm Incorporated.
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. Headquartered in San Diego, Calif., Qualcomm is included in the S&P 500 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 and the BREW solution is adopted, 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, 2002, and most recent Form 10-Q.