Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, and Ericsson (Nasdaq: ERICY), the world’s largest supplier of mobile systems and market leader in telecommunications, today announced they will join together to support CDMA technical trials in South Africa by demonstrating the benefits of CDMA2000® and CDMA2000 1xEV-DO wireless services while leveraging the existing GSM networks.
The technology demonstration will be conducted in Johannesburg, in an area that includes residential neighborhoods, business parks, and locations with limited wireless access. By testing the CDMA technology in a diverse range of locations, the flexibility and advantages of the technology will be highlighted. The trial will showcase how CDMA and GSM roaming can be accomplished to provide seamless voice services using a dual-mode GSM and CDMA handset.
Some operators have invested in both a GSM/GPRS and CDMA2000 1X network and serve a large number of subscribers on both networks. Qualcomm’s GSM1x Global Gateway (GGG) solution enables such operators to offer their customers seamless coverage across both types of networks through a single mobile handset.
CDMA2000 1xEV-DO is a data-optimized evolution of CDMA2000 that provides multi-megabit peak rates and average rates of hundreds of kilobits per second at a low cost per bit, an increasingly important factor as wireless services become richer in content. Furthermore, the lower cost per bit will enable potential CDMA operators in South Africa to extend services at affordable rates to the market. CDMA2000 1xEV-DO is compatible with cdmaOne™ and CDMA2000 and enables operators to obtain higher capacities and superior performance by optimizing for packet data services. In addition to the United States, CDMA2000 1xEV-DO networks have been commercially deployed in South Korea, Japan and Brazil.
“The rapidly growing African Telecommunications market is looking for complementary solutions,” said Jan Embro, vice president market unit sub-Suharan Africa for Ericsson. “We are very pleased to demonstrate with this trial how operators can take advantage of CDMA2000 technology to offer both voice and high speed data.”
“This live CDMA demonstration in South Africa will allow GSM operators to see the benefits of CDMA2000 digital wireless technology,” said Tom O’Neill, vice president of business development for Qualcomm. “Operators will be able to preserve their current investments and GSM infrastructure, while taking advantage of the cost savings, greater subscriber capacity, spectral efficiency and superior data transmission capabilities afforded by CDMA2000 and CDMA2000 1xEV-DO.”
Representatives from the telecommunications industry in South Africa, as well as invitees from all of sub-Saharan Africa, were given an opportunity to experience the technical trials first hand during a technology demonstration at the Transtel Woodmead Network Operations Center, in Johannesburg, South Africa on March 1.
Ericsson is shaping the future of Mobile and Broadband Internet communications through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world. Ericsson is a true end-to-end solutions provider. Based on our competitive end-to-end solutions we have a strong position in the growing market for converging networks.
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 is a 2004 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 26, 2004, and most recent Form 10-Q.