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Industry News SK Telecom Lowers Deposit Fee On new Cellular Service by 90 percent Cellular Service Now Becomes Accessible to All South Koreans SEOUL, SOUTH KOREA, Jul. 28, 1997 -- SK Telecom has announced that it has lowered the $225 (200,000 Won) deposit fee on cellular service to $22 (20,000 Won). This significant price reduction will allow many more South Koreans to enjoy the benefits of cellular service. Once prohibitively expensive to all but senior business executives, the costs for subscribing to SK Telecom service has dramatically decreased. Today, new customers pay for the cellular telephone, the $22 (20,000 Won) deposit fee and a $79 (70,000 Won) subscription charge. Falling cellular telephone prices in Korea have further reduced the cost of utilizing cellular phone service. SK Telecom has been diligently working over the past six months to reduce the cost of cellular service for its customers. In February, SK Telecom developed three rate structures which cut the company,s cellular rates by 12.6 percent. The reduction of the deposit fee is yet another way that SK Telecom is making its CDMA service more affordable to business and personal customers. "When we realized that the $225 deposit was a barrier for many consumers to obtain cellular service, we decided to reduce the deposit fee so that many more Koreans can enjoy SK Telecom,s cellular service," said Dr. Jung Uck Seo, president of SK Telecom. "We are proud to offer our highest quality Digital 011 service to both business and non-business customers at a significantly reduced cost, allowing all Koreans to maintain continuous contact with their families, homes, and offices." To facilitate the reduction in the deposit required to establish SK Telecom service, SK Telecom has signed an agreement with Korea Guarantee Insurance Co. In the past, SK Telecom used the $225 security deposit to cover unpaid phone bills upon the termination of service. For the first time in the Korean domestic cellular industry, Korea Guarantee Insurance Co. will cover unpaid customer charges. Originally named Korea Mobile Telecom, SK Telecom has been the leader in the field of mobile communications in Korea. The company has more than 1,790,000 digital subscribers, and serves over 2,000,000 customers on its analog network. SK Telecom was the first company in the world to offer commercial CDMA (code division multiple access) cellular service and is the third largest paging service provider in the world. SK Telecom is the largest paging service provider in India and in May 1997, the company invested $150 million in Wireless Communications Services Company of Thailand.
Ameritech to launch digital cell service CHICAGO, Jul. 24, 1997 -- Ameritech Corp said Thursday it will launch its digital cellular phone service, called ClearPath, in the Chicago area on July 28. Service in other areas will be launched starting in the fourth quarter of 1997 or the first quarter of 1998. Ameritech said it is using Code Division Multiple Access technology for the system, a digital technology that is said to improve call quality and reduce the number of cut calls. Additional services such as caller ID, messaging and paging will also be available. A dual-mode phone made by Qualcomm Inc will initially be used for the service. Ameritech said other companies such as Motorola Inc will also provide phones for the service in the future.
DDI to begin new-generation mobile phone service in '99 Jul. 15, 1997 -- DDI Corp. will begin a nationwide mobile phone service based on Code Division Multiple Access (CDMA) technology by the spring of 1999, the long-distance carrier said Monday. The company had earlier planned to launch its nationwide CDMA-based service by March 2001. CDMA technology is increasingly used in the United States for next-generation cellular telephony. Industry sources say DDI moved up the date for starting the service due to concerns that a gap with cellular phone industry leader NTT DoCoMo group would expand. CDMA enables cellular phones to offer sound quality similar to home phones. It uses radio frequency more efficiently and requires less equipment costs than conventional cellular systems. DDI will begin experimental use of the CDMA-based phone in early August in Kyoto and Osaka prefectures, the company said.
3 Rivers Expands Service Portfolio to Include Mobility Using Nortel (Northern Telecom) Integrated Wireless Solution FAIRFIELD, Mont., Jul. 16, 1997 -- What will many wireless and wireline telephone service customers in Montana soon have in common? The same phone company. 3 Rivers Telephone Cooperative, a local phone service provider located in Fairfield, Montana and owner of PCS licenses for eastern Montana, plans to offer its customers both fixed and mobile services using an Integrated Wireless Solution from Nortel* (Northern Telecom). Under terms of a multi-year deal worth approximately $US 20 million, Nortel will provide 3 Rivers Telephone with a complete network, including the Nortel DMS-100* Wireless digital switching system, 1.9 GHz cdmaOne* (IS-95 CDMA) digital radio base station equipment and a range of design, systems integration and deployment services. "Our PCS licenses allow us to expand our market opportunity to new cities, including Great Falls, Helena and Billings, to meet the increasing demand for wireless services," said Art Isley, general manager, 3 Rivers Telephone. "To meet the growing demands of our existing customer base and our plans to offer mobility, we chose the Nortel solution, which offers unparalleled flexibility and cost-effectiveness," Isley said. * cdmaOne is a trademark of the CDMA Development Group DMS-100 is a trademark of Northern Telecom
Sprint PCS And Mobility Canada Announce Powerful Wireless Roaming Agreement TORONTO/KANSAS CITY, Mo., Jul. 15, 1997 -- Mobility Canada of Toronto and Sprint PCS of Kansas City, Mo. announced today a powerful agreement which will allow wireless roaming throughout the United States and Canada. The combination has the potential to be the largest roaming network in North America, giving customers the ability to stay connected while in the United States or Canada using the Sprint PCS or Mobility Canada nationwide wireless networks. Sprint PCS is building the first 100 percent digital, Code Division Multiple Access (CDMA), nationwide PCS network in the United States. Sprint PCS' and its associates' PCS licenses, give Sprint PCS unprecedented licensed coverage of nearly 260 million people in all 50 states, Puerto Rico and the U.S. Virgin Islands. The entire Sprint PCS network operates at the 1.9 GHz frequency. The members of Mobility Canada bring to the agreement a Canada-wide cross-spectrum wireless network using a combination of frequencies including CDMA at 1.9 GHz, CDMA at 800 MHz and AMPS (analog cellular) at 800 MHz. "This is an exciting opportunity for us, and another building block in the evolution of personal communications services,'' said Charles Labarge, president and chief executive officer of Mobility Canada. This agreement offers a tremendous advantage to our customers by laying the groundwork for digital roaming in the United States.'' Andrew Sukawaty, chief executive officer of Sprint PCS said, "The United States' first nationwide 100 percent digital PCS system just went one step further. With this agreement, Sprint PCS customers will soon be able to receive consistent digital quality in many major Canadian cities. For Mobility Canada's and Sprint PCS' customers, traveling throughout Canada and the U.S., will soon be a simple and easy proposition.'' Roaming service between Sprint PCS and Mobility Canada will be available to consumers before the end of the year when dual-band phones that operate on digital 1.9 GHz CDMA networks and analog cellular networks are expected to be available for retail purchase. Information on pricing for dual-band phones and for roaming between the two systems is not available at this time. Under this agreement, Sprint PCS customers who roam in Canadian cities will do so either on Mobility Canada's 800 MHz analog cellular network, or their 1.9 GHz CDMA system, where available. Customers on Mobility Canada's 1.9 GHz network who roam in the U.S. will have access to the expansive CDMA network provided by Sprint PCS. As the digital PCS coverage in both countries expands, the agreement will provide the continued ability to receive digital voice and data services in U.S. or Canadian cities.
Sprint PCS(SM) Service Now Available in 56 CITIES Across Nation; Recent Launches Include Final Nortel Cities KANSAS CITY, Mo. Jul. 9, 1997 -- Sprint PCS has announced the launch of its Personal Communication Services (PCS) in 11 more cities, bringing the benefits of 100 percent digital, 100 percent PCS wireless communications to consumers and businesses in 56 cities across the country. These recent launches complete the Nortel launch phase for Sprint PCS. "The completion of the Nortel portion of our launch schedule is a significant milestone for Sprint PCS," said Andrew Sukawaty, Sprint PCS chief executive officer. "Nortel's commitment to Sprint PCS has been a major factor in our drive to build the country's first 100 percent digital, nationwide PCS network. We're confident that our long-term relationship with Nortel will continue to yield positive results for years to come." Since May 28, 1997, Sprint PCS has launched service in Miami, Fort Lauderdale, West Palm Beach and Key West, Fla.; Phoenix, Ariz.; Minneapolis and St. Paul, Minn.; Birmingham, Ala.; St. Louis, Mo.; Buffalo, N.Y.; and Sacramento, Calif. "What Sprint PCS and Nortel have achieved in just 17 months is nothing short of remarkable," said Matt Desch, president, Wireless Networks, Nortel. "It wasn't that long ago that a project of this magnitude would have taken years, not months - especially when you consider we were rolling out a technology that was yet to be proven commercially viable. We overcame significant challenges, not only in terms of new product development and roll out, but also in acquiring and building a tremendous number of sites in a very short period of time." SPRINT PCS SERVICE LAUNCHES TO DATE:
Nortel and Lucent Technologies are providing the CDMA (Code Division Multiple Access) network infrastructure equipment for the Sprint PCS network. The Sprint PCS system will be the most extensive in the U.S. When the first phase of launch is complete, the Sprint PCS network will encompass 65 cities coast to coast, including 35 of the top 50 U.S. metropolitan areas. In phase two, Sprint PCS, together with its affiliates, will expand its existing service coverage to provide services under licenses recently acquired by Sprint Corporation in spectrum auctions conducted by the FCC. These new licenses, when combined with Sprint PCS's and its affiliates' licenses, will give Sprint PCS unprecedented licensed coverage of nearly 260 million people in all 50 states, Puerto Rico and the U.S. Virgin Islands. Sprint PCS is a partnership of Sprint Corporation, Tele-Communications, Inc. (TCI), Cox Communications, Inc. and Comcast Corporation. Relations of Sprint PCS, 816-559-6703, or pager, 888-347-1660/ (FON)
 Vendor News QUALCOMM Signs CDMA ASIC License Agreement With LSI Logic Key ASIC Supplier to Provide Chipsets to CDMA Markets Worldwide SAN DIEGO, Jul. 30, 1997 -- QUALCOMM Incorporated today announced that it has signed a license agreement with LSI Logic Corporation of Milpitas, Calif. The agreement enables LSI Logic to develop, manufacture and sell cdmaOne (IS-95) Application Specific Integrated Circuits (ASICs) to QUALCOMM's subscriber equipment licensees for digital cellular, personal communications services (PCS) and wireless local loop applications around the world. "LSI Logic enjoys a worldwide reputation as a key supplier of digital communications integrated circuits to the mobile communications marketplace," said Steve Altman, senior vice president and general manager of QUALCOMM's Technology Transfer Division. "By adding CDMA to its portfolio of capabilities, LSI Logic stands to gain an even larger share of this lucrative market." With this agreement, LSI Logic becomes the fourth ASIC supplier to worldwide CDMA markets. CDMA is the digital technology of choice for digital cellular and PCS in the United States. CDMA offers better voice quality with longer talk and standby times and greater wireless access to millions of subscribers. "This patent license agreement allows LSI Logic's leadership in CoreWare(R)-based ASIC design to be combined with CDMA technology, thereby providing our wireless customers with system-on-a-chip solutions at a time when time-to-market and product differentiation around the CDMA standard is key," said John Daane, LSI Logic's vice president and general manager Communication Products Division.
Verilink Broadens Presence in Wireless Market with Nortel Agreement; To Deploy Access System 2000 Integrated Access Device throughout CDMA Digital Wireless Networks SAN JOSE, Calif., Jul. 24, 199 -- Verilink Corporation today announced it has expanded its relationship with Nortel (Northern Telecom), a leading provider of global communication networks, and signed a multi-year contract worth approximately $20 million to supply the Verilink Access System 2000 integrated access device for use in CDMA (code division multiple access) digital wireless networks worldwide. Under the terms of the agreement, the Access System 2000 with the Advanced Communications Engine (ACE) will be incorporated into the networks and will serve as the T1/E1 interface located between the base station transceiver subsystem (BTS) and the base station controller sites (BSC). The ACE card can provision T1/E1 lines to transport a mix of CDMA, CDPD, TDMA and AMPS wireless traffic, thereby reducing circuit and network access charges. "As Nortel extends the success of its CDMA digital wireless network solutions around the globe, simplicity and flexibility become even more critical requirements," said Richard Lowe, general manager, CDMA, Wireless Networks, Nortel. "This agreement gives us a more flexible T1/E1 interface that operates anywhere in the world without additional or specialized equipment." "Nortel is a key strategic alliance for Verilink, and we are pleased to be a part of its wireless network solutions that are deployed around the globe," said LeighBelden, president and chief executive officer of Verilink Corporation. "Verilink's solution fits where wireless transmission meets the wireline environment and makes the task of providing seamless connectivity and data transmission easier for the wireless service provider." Traffic-Grooming Application With its integrated access platform and software-based Advanced Programmable Architecture (APA), Verilink is able to optimize system trunking resources and reduce system operation costs in the CDMA digital network. This is accomplished with a DS1/E1 traffic-grooming application, which aggregates traffic and channels from multiple sites for the most efficient backhaul and trunking utilization. Additionally, the ability to reconfigure system trunking bandwidth remotely via software control and remote firmware download capability eliminates technician travel time and reduces the cost of system upgrades as the network evolves. Double Density with the AS2000 Product density and scalability are key benefits Verilink brings to Nortel's network. Using the ACE card, Verilink's solution doubles the density of circuit connections on a single module and provides up to four T1/E1 lines in a dual-line (two-slot) chassis located at the BTS site. At the BSC, with its multi-line (13-slot) chassis, Verilink can support up to 26 T1/E1 lines. Competitive solutions require double the number of modules for the same level of connectivity. Verilink offers the benefit of high density and space saving in two ways: With the ACE card, fewer modules are required for multiple lines of connectivity, and the small footprint of the AS2000 chassis saves floor space. T1/E1 in a "Snap" The flexibility of Verilink's universal solution allows the system to be deployed worldwide with minimal configuration. Using a snap or connector interface module that attaches directly to the ACE card, the AS2000 can automatically operate in T1, E1 or a combination of T1/E1 environments andadapt to the specific global network standards. Benefits from this feature include costs savings with a reduction in inventory, sparing and training requirements. Verilink's Integrated Access Device Scalability and flexibility are the hallmark benefits of Verilink's Access System 2000, allowing for customization of the platform based on customers' access requirements. The modularity of the solution gives customers the ability to deploy and migrate from narrowband through broadband services such as ISDN, SMDS, frame relay and ATM, all within a single platform. Leveraging its scalable architecture, Verilink's Access System 2000 can add bandwidth and accommodate various transmission speeds to address users' ever-increasing access requirements. Verilink is ISO9001 certified. The Access System 2000 offers a five-year warranty and a mean time between failure of over 100 years.
QUALCOMM CDMA Equipment Certified for Commercial Use in Russia SAN DIEGO, Jul. 17, 1997 -- QUALCOMM Incorporated today announced that it has been certified to commercially deploy Code Division Multiple Access (CDMA) equipment in Russia. The State Committee for Telecommunication and Informatization of the Russian Federation presented the certificate to QUALCOMM after extensive testing was performed on QUALCOMM's CDMA wireless local loop (WLL) network in Chelyabinsk. The certificate specifies that QUALCOMM's cdmaOne (IS-95) network equipment and subscriber units meet all required quality, functionality and interoperability requirements for commercial operation. Specifically, QUALCOMM's Intelligent Base Station Controllers (IBSC), Base station Transceiver Subsystems (BTS), QCP-800™ portable phones and QCT-1000™ fixed wireless telephones can be used in commercial WLL applications throughout Russia. The certificate is valid for three years and is renewable after that pending an annual inspection of the certified equipment by the State Committee for Telecommunication and Informatization. "QUALCOMM is proud to be the first vendor to achieve Russian certification for commercial deployment of IS-95 CDMA systems. This is a milestone for both QUALCOMM and the Russian Federation in bringing advanced communication to the region," said Dr. Ronald Uhlig, QUALCOMM's regional vice president for the CIS and Baltic countries. Uhlig extended special thanks to the Central Science Research Institute (ZNIIS) which worked hard in carrying out the certification testing and to Sviazinform, Chelyabinsk Region, which provided people, facilities, and access to the public network throughout the testing period. "The certification clears the way for us to move forward immediately with commercial deployment of CDMA systems in the Moscow Region, Rostov and Chelyabinsk, where QUALCOMM has already won contracts to deploy CDMA WLL systems" Uhlig said. "Extensive research into spread spectrum technology was carried out on parallel by separate paths in both Russia and the United States in past years," said Prof. Leonid Varakin, General Director of the Central Science Research Institute (ZNIIS). "As one of those involved with the research in Russia, I am very pleased that ZNIIS was able to conduct the successful testing which led to the granting of the first CDMA certificate in the Russian Federation." "I'm very pleased that our company is the first Russian CDMA operator," said Alexander Blinov, director, South Ural Cellular Telephone. "And that, in the near future, we will be able to provide quality CDMA-based public telecommunication services to residents of Chelyabinsk - a technology, which is new to Russia. We are confident that our experience with this system deployment will be useful to operators in other cities and regions."
Samsung, LG reap contracts to supply CDMA phones to Peru Jul. 11, 1997 -- Samsung Electronics and LG Information & Communications said that they won contracts to supply a Peruvian cellular phone service company, Telephonica, with 10,000 units and 5,000 units of CDMA (code division multiple access) digital handsets, respectively. The contracts are part of the order for 25,000 CDMA cellular phones Telephonica has placed. An official at Samsung Electronics noted that as the shipments will be the first to a Latin American nation, the order will pave the way for Korean cellular phone companies in their advancement into the Latin American market for the latest digital cellular phones. The shipments will take place in August, the official said. The two Korean companies, however, did not give the value of the shipments. Samsung Electronics provided 5,000 CDMA phones to Telephonica, when the Peruvian company launched a pilot CDMA cellular services earlier this year. Peru is among a crop of Latin American countries, including Brazil and Argentina, which plan to launch the new form of the digital wireless phone service.
Samsung To Build CDMA Network For Shanghai SHANGHAI, CHINA, Jul. 10, 1997 -- Shanghai Great Wall Mobile Communication Corporation has signed an agreement with Samsung to build an 800MHz CDMA mobile phone network. The municipality currently has four mobile phone networks, including TACS A network, B network, GSM network and ongoing DCS1800 network, according to the New Century Group. There are four CDMA trial networks being built in China: Beijing, Guangzhou, Xi'an and Shanghai. The one in Shanghai is the largest of the four undergoing test trials. The first phase of the CDMA network agreement will see 67 base stations built which can provide coverage to all locations within the municipality. The Shanghai network is planned to be operational in early 1998 with a total network capacity of 60,000 subscribers. Overall investment in the network is placed at US$17.4 million. There are now more than 400,000 mobile phone subscribers in Shanghai. By the year 2000, Shanghai is expected to have over two million mobile phone subscribers. China Research analysts say the fivefold increase in the number of subscribers during the next three years is a good opportunity for the CDMA system to develop its own user base in the municipality's mobile phone market. Shanghai Great Wall Corporation was founded a year ago, in July 1996, by the Shanghai PTA and Nanjing Military Command. Samsung has successfully set up the world's largest CDMA mobile network with over 1,100,000 subscribers in its home market of Korea. The partnership between Samsung and Shanghai Great Wall represents two powerful players backing the creation of CDMA networks in China's mobile phone market.
Sprint PCS, Nortel (Northern Telecom) Achieve Network Rollout Milestone; Miami Launch Caps 17-Month Journey from Contract to Reality DALLAS, Jul. 9, 1997 -- Less than a year and a half after celebrating the largest contract in the company's 100-year plus history, Nortel (Northern Telecom) has cause to celebrate once more. So, too, does Sprint PCS. With last week's commercial service launch in south Florida, Nortel has successfully completed the initial rollout of the Sprint PCS digital wireless network in all 17 major trading areas included in the original, multi-year supply agreement -- estimated to be worth more than $US 1 billion -- announced in January 1996. "The completion of the Nortel portion of our launch schedule is a significant milestone for Sprint PCS," said Andrew Sukawaty, chief executive officer, Sprint PCS. "Nortel's commitment to Sprint PCS is a major factor in our drive to build the country's first 100 percent digital, nationwide PCS network," Sukawaty said. "We're confident that our long-term relationship with Nortel will continue to yield positive results for years to come." Nortel cdmaOne (IS-96 CDMA) digital networks now make crystal-clear wireless telephone service available in 30 US cities, including Miami, Dallas/Fort Worth, New Orleans, Minneapolis/St. Paul, St. Louis, Nashville and Kansas City. cdmaOne is a trademark of the CDMA Development Group. Sprint PCS is a service mark of Sprint Communications Company LP.
QUALCOMM and Japan Radio Co., Ltd. Sign CDMA Test Equipment License Agreement SAN DIEGO, Jul. 9, 1997 -- QUALCOMM Incorporated and Japan Radio Co., Ltd. (JRC) of Tokyo, Japan, today announced the signing of a worldwide royalty-bearing license agreement for test equipment based on QUALCOMM's Code Division Multiple Access (CDMA) technology. The agreement allows JRC to design and develop digital radio test equipment to support the installation and maintenance of CDMA communications networks. "Supporting the rapid international deployment of cdmaOne technology presents significant opportunities for manufacturers like JRC to sell CDMA test equipment," said Steve Altman, senior vice president and general manager of QUALCOMM's Technology Transfer Division. "With the addition of CDMA, JRC will increase its technology portfolio, providing a significant potential market for JRC's equipment around the world." "JRC has extensive experience and a solid reputation in the test equipment business, especially in the cellular and mobile radio business areas such as phasing simulators and cellular testers. As JRC and QUALCOMM have reached this CDMA license agreement, we expect to expand our product range and market share around the world," said Akihiro Tanaka, managing director and general manager for JRC's Engineering Department. For more information on JRC products and technologies, please visit the Company's web site at http://www.jrc.co.jp. For more information on QUALCOMM products and technologies, please visit the Company's web site at http://www.qualcomm.com/.
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