Qualcomm Incorporated (Nasdaq: QCOM), a leading developer and innovator of advanced wireless technologies and data solutions, and Telechips Inc., a leading Korean semiconductor company, today announced that the companies have signed a royalty-free agreement that enables Telechips to use Qualcomm's patented technologies to design, manufacture and sell certain semiconductor chip products that implement FLOTM technology. FLO is a globally-recognized air interface standard for mobile TV and a key component of the MediaFLO™ System.
“With the demand for affordable multimedia content growing, Qualcomm is pleased to have executed multiple FLO chip agreements in rapid succession since the inception of its FLO chip program last year,” said Marv Blecker, president of Qualcomm Technology Licensing. “This agreement will allow Telechips to provide its customers with high-quality FLO chips that enable delivery of a superior mobile broadcast experience combining live streaming TV, on-demand programming and a host of interactive services.”
“Our reputation for satisfying expectations is based on the ability to work proactively on the customers' behalf,” said Min-ho Seo, chief executive officer and president of Telechips. “This FLO agreement with Qualcomm will allow us to stay ahead of the rapidly-changing market and provide our customers with advanced mobile TV technology, efficiently and economically.”
On September 8, 2006, Qualcomm announced a broad-based licensing program to enable the development, manufacture and sale of FLO-enabled handsets. Subject to Qualcomm's standard terms and conditions, Qualcomm will license its essential FLO patents for use in multi-mode CDMA/FLO handsets with no increase to its standard royalty rate for CDMA-based handsets. CDMA includes CDMA2000® and/or WCDMA (UMTS). For FLO handsets that do not also implement CDMA, Qualcomm will license its essential FLO patents on terms and conditions that are fair, reasonable and free from unfair discrimination. Companies interested in licensing FLO patents should contact Qualcomm at 1-858-587-1121 and ask to speak with the Qualcomm Technology Licensing group.
Information on the benefits of FLO technology and technical details on the FLO specification are available from the FLO Forum (www.floforum.org <http://www.floforum.org>). The FLO Forum is a multi-company initiative committed to advancing the global standardization of FLO technology. Composed of industry-leading organizations, the FLO Forum works to develop products and services, based on FLO technology, that enable the delivery of advanced multimedia services to wireless consumers. The FLO Forum is organized to promote the global standardization of FLO technology, including compliance and certification benchmarks for the technology. The FLO Forum recently gained official approval and publication of the FLO Air Interface Specification by the TIA TR-47.1 Subcommittee.
MediaFLO technology is a global mobile entertainment platform, enabling broadcasting of high-quality video, audio, Clipcasting™ media and IP datacasting streams to mobile handsets. The MediaFLO System, comprised of the MediaFLO Media Distribution System and FLO Technology, is a comprehensive, end-to-end solution designed specifically to address the inherent challenges of distributing large volumes of high-quality mobile multimedia content to wireless subscribers. Invented with mobility in mind, MediaFLO efficiently and cost-effectively addresses the usability, network capacity, and device constraints typical of video delivery to mobile handsets. More information about MediaFLO is available at www.mediaflo.com.
Telechips is a leading fabless semiconductor company in Korea. It designs and develops multimedia platforms for application markets ranging from portable MP3 players, car audios, home audios, mobile phones and broadcasting such as mobile TV, DAB, and its products support comprehensive multimedia and communication technologies such as MP3, camera, video, mobile TV and GPS navigation. Telechips' customers include market leading companies such as Samsung, Philips, Sony, JVC, Hyundai, Thomson(RCA) and LG.
Qualcomm Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on CDMA and other advanced technologies. Headquartered in San Diego, Calif., Qualcomm is included in the S&P 500 Index and is a 2007 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 and FLO are 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 24, 2006, and most recent Form 10-Q.