PR:
September 20th, 1999 - Calgary, Alberta
Zi Corporation (TSE: ZIC; NASDAQ: ZICA) ("Zi") is pleased to
announce that it has entered into a licensing and royalty
agreement with Synchronization Inc., a subsidiary of China's
Eastern Communications Co., Ltd. (Eastcom). The agreement was
signed to provide Zi Input software for integration with
Eastcom's range of GSM digital cellular phones sold in Greater
China and around the world.
Synchronization Inc., based in Irvine, California, specializes in
designing GSM platforms for Eastcom. Eastcom is listed on the
Shanghai Securities Exchange. The company is focused on the
manufacture and sales of mobile communications equipment.
Revenues for the year 1998 reached RMB 5 billion (US$560
million).
Eastcom has been a partner of Motorola in China for a long time,
co-developing and manufacturing Motorola-brand pagers, analogue
and digital cellular handsets for over 5 years, most recently the
GC87C, first Chinese menu digital phone on the market.
At present, Eastcom is the largest China-based manufacturer and
supplier of cellular mobile telephones and cellular mobile
systems equipment. Eastcom has announced it will be launching 10
different phone models each year from 1999.
Antoine Blondeau, Senior Vice President for Marketing and Sales
at Zi Corporation remarked, "Eastcom is the most experienced
manufacturer of GSM handsets in China. This guarantees a smooth
volume ramp-up and quality cell phone delivery to customers.
Eastcom has already launched China's first locally developed GSM
handsets, the-EC528, the first Chinese phone to pass European GSM
Type Approval tests. Eastcom is one of the few manufacturers to
rely on an established customer base. This is the second time we
have had an opportunity to work with the Lucent hardware
solution, which plays an important role in China. Zi
Corporation's Intelligent Text Input for Chinese will allow
Eastcom to enhance its leading position in the Chinese GSM
market."
"Zi Corporation's Intelligent Text is now a requirement when it
comes to marketing cell phones in China: it is both very
intuitive and the fastest such technology in the market place",
commented Mr. Zhang Ker, President Synchronization Inc. "Chinese
cell phone users are feature-conscious. The Zi input system
provides a powerful solution to the traditional input issue. It
will become an exciting feature of our platform."
Zi Corporation's goal is to make modern electronic technology
more accessible to people in a way that is consistent with their
language and culture. By connecting technology to language, Zi
Corporation delivers multi-language and smart text input to the
mass market for devices such as mobile phones, TV set top boxes,
computers and information appliances.
The company is also pleased to announce that effective Monday,
September 20, 1999, Zi's common shares will be included in the
TSE 300 Index, TSE 200 Technology-Software Group and the S&P/TSE
Canadian Small Cap Index.
Certain statements in this press release constitute
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995 including, without
limitation, statements concerning the anticipated benefits to Zi
Corporation of its agreement with the licensee (the "Licensee")
described herein. The expected inclusion of Zi Input technology
in products developed by the Licensee and potential revenue
therefrom involve risks, uncertainties and other factors which
may cause the actual results, performance or achievements of Zi
Corporation to be materially different from any future results,
performance or achievements expressed or implied by such
forward-looking statements. Such factors include uncertainties in
the ability to successfully collaborate with the Licensee; the
ability of Zi Corporation to successfully design, develop, and
deliver any application that complies with the Licensee's
specifications and is accepted by the Licensee; the ability of Zi
Corporation to successfully meet specific delivery dates set
forth by the Licensee; the ability of Zi Corporation to
successfully integrate and maintain compatibility with the
Licensee's technology; possible failure to continue to be
selected as the text input enabling technology by the Licensee;
the ability of the Licensee to successfully market and distribute
any of its products incorporating Zi technology; economic
conditions in Asia; the risks of doing business in foreign
countries including China; and the risks and uncertainties
referred to in Zi Corporation's Form 20-F for the most recent
calendar year end as filed with the U.S. Securities and Exchange
Commission. There can be no assurance that Zi Corporation will
achieve commercial success through the agreement described
herein.
NEITHER THE TORONTO STOCK EXCHANGE NOR NASDAQ HAVE APPROVED OR
DISAPPROVED OF THE INFORMATION CONTAINED HEREIN.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Zi Corporation
Manager - Investor/Media Relations
+1-403-233-8875
Email: investor@zicorp.com
Web site: zicorp.com
Synchronization Inc.
Mr. Zhang Ker
President
Eastcom Web site: eastcom.com
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