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EIGHT LEADING WIRELESS COMPANIES SIGN MEMORANDUM OF UNDERSTANDING TO COMMERCIALLY DELIVER CDMA2000 INFRASTRUCTURE AND TERMINALS FOR 2.1 GHZ SPECTRUM

Ericsson, LG Electronics, Lucent Technologies, Motorola, Nortel Networks, Qualcomm, Samsung and ZTE Commit to the Delivery of 2.1 GHz CDMA2000 Equipment

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COSTA MESA, Calif., Aug. 20, 2002 - The CDMA Development Group (CDG) (www.cdg.org) and eight wireless vendors signed a Memorandum of Understanding (MoU) for the delivery of CDMA2000 infrastructure and terminal equipment to be used for 2.1 GHz spectrum. Under the MoU, Ericsson, LG Electronics, Lucent Technologies, Motorola, Nortel Networks, Qualcomm, Samsung and ZTE have committed to provide wireless operators with CDMA2000 infrastructure, terminal equipment, or related technology to offer commercial service at 2.1 GHz frequency.

"Today's announcement is indicative of the collaboration between the CDG and its member manufacturer companies working to ensure that 3G CDMA2000 equipment is available to operators regardless of spectrum," said Perry LaForge, executive director, CDG. "CDMA2000 has proven itself in the 3G market place with more than 13 million global subscribers. The public commitment from CDMA wireless vendors underscores the industry's confidence that CDMA2000 has a strong position in the 3G market."

"KDDI's decision to use CDMA2000 at 2.1 GHz complements our commercial CDMA2000 system at 800 Mhz and lets us expand our service offering. The flexibility of CDMA2000 enables us to offer advanced data services as well as rapid rollout regardless of the spectrum band," said Toshio Okihashi, senior executive managing officer of KDDI Corp. "This commitment by leading manufacturers to develop CDMA2000 infrastructure and terminal equipment for 2.1 GHz frequency assures operators that there will be a range of solutions to choose from at 2.1 GHz."

Under the terms of the MoU, 2.1 GHz equipment will be available for customer trial and testing purposes as early as September 2002 and commercially available as early as February 2003. The initial trial equipment will be developed to potentially support the 3G trial efforts of China's Ministry of Information Industries (MII).

As part of the CDG's on-going 3G initiative the Group will continue to facilitate interactions between CDMA operators and vendors to promote and support the deployment of CDMA-based 3G systems worldwide.