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CDG Provides Comments on Ericsson's and Qualcomm's Global CDMA Resolution

Agreement to Facilitate Harmonization of 3G Standard, Fuel Continued Growth of cdmaOne Around the World

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COSTA MESA, Calif., Mar. 25, 1999 -- "First and foremost we welcome Ericsson's commitment to CDMA technology and their entry into the marketplace," said Perry LaForge, executive director of the CDMA Development Group (CDG). "Ericsson's acquisition of Qualcomm's terrestrial wireless CDMA infrastructure operations is a clear indication that cdmaOne* and our proposed growth path is the future of wireless and communications. With an annual worldwide subscriber growth rate over 300%, cdmaOne continues to be the fastest growing wireless technology ever. And with our move into the Internet, we are just getting started. We welcome Ericsson's participation in this growth and hope they join the growing number of manufacturers of cdmaOne equipment."

LaForge continued, "We further believe that this agreement will help us achieve the CDG's vision of a single, CDMA 3G standard with multiple harmonized modes similar to what was recently discussed by operators and manufacturers at the Trans Atlantic Business Dialogue Meetings (TABD)*. Now that we are all working together, and the manufacturer issues are resolved, operators can push for harmonization, which, based on the TABD and other recent discussions, is of vital importance to them. This will allow us to meet the needs of the GSM community as well as protect cdmaOne operators' ease of growth to 3G. With this agreement, we hope that Ericsson will now embrace harmonization as a way of meeting its customer needs. It is clear that the voice of the operators will be even more important in the 3G debate and, based on our discussions, we believe that will drive us closer to a harmonized standard."

For over a year, the CDG has been at the forefront of promoting harmonization and the International Telecommunications Union's (ITU) original goal of a common worldwide wireless standard. Harmonization provides the wireless industry economies of scale and a competitive environment that focuses on features and services, rather than technical standards. Other benefits of harmonization include lower research and development costs, worldwide roaming, stronger wireless competition with landline telecommunications systems, fulfillment of the ITU IMT-2000 goals, and most importantly, increased consumer satisfaction.

LaForge closed by saying, "As we have said in the past, it has not been easy but we have led a revolution in the wireless industry. cdmaOne is not just an air interface standard but a vision for communications in the future. I think this agreement is another indication that now even the most die-hard critics realize cdmaOne is where they need to be and the sooner they get there the better."

* The CDG is not seeking harmonization with IS136 (US TDMA) based proposals.