Press Release

Qualcomm and Techfaith Wireless Sign CDMA Modem Card License Agreement

Apr 27, 2004SAN DIEGO and BEIJING

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

Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, and Techfaith Wireless Communication Technology Limited ("Techfaith Wireless"), today announced that they have entered into a CDMA modem card license agreement. Under the terms of the royalty-bearing agreement, Qualcomm has granted Techfaith Wireless a worldwide license under Qualcomm's CDMA technology and patents to develop, manufacture and sell cdmaOne™ and CDMA2000® 1X/1xEV-DO modem card products for use in wireless data communication devices.

"Qualcomm is pleased to license Techfaith Wireless, a leading wireless handset design house for the Chinese market, for the development, manufacture and sale of CDMA modem cards," said Marvin Blecker, senior vice president and general manager of technology licensing for Qualcomm. "This license will allow Techfaith Wireless to provide enhanced data communications solutions that enrich consumers and business professionals' mobile wireless experience."

"The worldwide demand for wireless data services is increasing rapidly. Techfaith Wireless looks forward to working with Qualcomm to provide leading edge products that help fulfill this demand," said D.F. Dong, chairman and founder, Techfaith Wireless. "With CDMA, our customers around the world will be able to benefit greatly from enhanced data capabilities that enable multimedia including video and audio, integrated cameras, position location, graphics, and gaming applications and services."

Techfaith Wireless was established in July 2002. As the largest mobile handset design house in China, Techfaith Wireless has an experienced R&D team and management team who are familiar with the mobile handset industry and understand the needs and desires of the customers. Techfaith Wireless has launched dozens of mobile handsets to the markets. Techfaith Wireless consists of four independent operating design houses including Beijing Techfaith R&D Co., Ltd, Beijing Centel Telecommunication Co., Ltd., STEP Technologies (Beijing) Co., Ltd, Leadtech Communication Technology (Shanghai) Ltd, and a branch for industrial design and mechanical design of mobile handset. The Company has over 600 employees, of which 90% are technical and engineering staff.

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&P500 Index and is a 2003 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 28, 2003, and most recent Form 10-Q.

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