Sundial and CellStar Corporation Form Alliance to Support Internet
Sales of Wireless Products and Services
Business Wire - October 26, 2000 13:21
CARROLLTON, Texas--(BUSINESS WIRE)--Oct. 26, 2000--CellStar Corporation (NASDAQ:CLST) today
announced that it has entered into a joint marketing and service agreement with Sundial Marketplace Corporation
(Sundial) to provide United Kingdom consumers and small businesses with a comprehensive selection of phones and
airtime tariffs over the Internet. The Internet site, found at wire3.sundial.com , went live on October 1. In addition to
enabling the purchase of mobile phones and accessories, the site links to the CellStar (UK) WAP portal
(http://www.wire3.net) that provides open access to all mobile Internet sites and offers a sophisticated mobile e-mail
solution. All phones sold through the Internet site will be programmed to access this site.
Under the terms of the agreement, CellStar (UK) Ltd. will use the Sundial.com platform, specifically adapted for the UK
market, to offer mobile phones, accessories and airtime talk-plans to consumers and small businesses. CellStar (UK) will
provide customer service, fulfillment and airtime activation activities, and will supply products ordered on the site to
customers on a next day basis. Sundial will manage and operate the underlying Internet-based computer system that
provides customers with information on phone features and tariff options and processes subsequent orders. Although
initially set up as a B2C (business-to-consumer) offering, CellStar plans to offer the service to its independent dealer
network as a platform for supporting their own e-commerce initiatives.
Sundial simplifies the purchasing process for telecommunications products and services through its marketplace application
that enables consumers and small businesses to compare the prices and features of various wireless handsets, accessories
and wireless service plans, and then to transact purchases online. Sundial's web site application has been seamlessly
integrated with CellStar's AOS ON-LINE(SM) ordering system, using an XML-based (eXtensible Mark-up Language)
exchange that enables disparate software systems to communicate with one another over the Internet. This integrated
approach provides a high degree of flexibility in communicating inventory availability, order placement and order tracking
on a real-time basis. This combination has already been used both in the US and in the UK to integrate CellStar's activities
with the systems of a number of major e-tailers, retailers and dealer partners.
"Sundial and CellStar (UK) are pioneering an outstanding system for the distribution and fulfilment of products and services
in the UK mobile phone industry," said Michael Cooley, chief operations officer and executive vice president of Sundial
Marketplace Corporation. "By using an integrated web-based application, Sundial and CellStar have created a lower-cost
order processing and product distribution system that will allow savings to be passed along to wireless consumers. Sundial
will continue to support CellStar (UK) in offering best-in-class wireless content and e-commerce solutions that will educate
and empower consumers and businesses to purchase mobile products, air-time tariffs and value-added wireless
applications through wire3.sundial.com."
Bryan Semple, managing director of CellStar (UK) Ltd., commented, "The launch of the Sundial platform in the UK
further extends the value-added services we offer to consumers, our network of independent dealers and the leading
manufacturers and carriers." Mr. Semple added, "Through our comprehensive fulfilment offerings, we provide world-class
customer service, which we believe will differentiate us from our competition. We are at the beginning of an exciting time
for the UK mobile phone industry with a variety of new products and services becoming available. This initiative allows us
to get those new products to market more quickly and to provide consumers with the information they need to make an
informed decision in an ever-increasingly complex wireless world."
About Sundial
Based in the Silicon Alley section of New York City, Sundial offers end-to-end wireless telecommunications solutions via
the Web. Sundial's advanced technology platform is linked to leading vendors and service providers in over 23,000 cities
and towns across the US, enabling customers to easily research, configure, and purchase customised wireless solutions
online - including equipment, services, and content applications. Additionally, the company's Web-based provisioning
engine is widely used by leading retail and online companies, offering completely transparent order fulfilment and
management capabilities. Sundial is a wholly-owned subsidiary of Essential.com, the Web's Energy and Communications
Marketplace. For more information, visit Sundial at sundial.com.
About CellStar
CellStar Corporation is a leading global provider of distribution and value-added logistics services to the wireless
communications industry, with operations in Asia-Pacific, North America, Latin America and Europe. CellStar facilitates
the effective and efficient distribution of handsets and related accessories and other wireless products from leading
manufacturers to network operators, agents, resellers, dealers and retailers. In many of its markets, CellStar provides
activation services that generate new subscribers for its wireless carrier customers. For the year ended November 30,
1999, the Company generated revenues of $2.3 billion. Additional information about CellStar may be found on its web site
at cellstar.com.
CellStar (UK) Ltd. became CellStar Corporation's first European operation in 1996 and has expanded rapidly to become
one of the UK's leading distributors of mobile phones, accessories and other mobile communication products and services.
Based in Trafford Park, Manchester, in a new purpose-built distribution centre, CellStar (UK) offers a variety of
value-added and unique services to service providers, distributors, and retailers. Additional information about CellStar UK
may be found on its web site at cellstar.com.
This news release contains forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995.
A variety of risk factors, including changes in foreign laws, regulations and tariffs, new technologies, system implementation
difficulties, competition, handset shortages or overages and other risk factors, are discussed in the Company's Annual
Report on Form 10-K and most recent Quarterly Report on Form 10-Q, which are on file with the SEC. Any
combination of these risk factors could cause CellStar's actual results to vary materially from anticipated results or other
expectations expressed in the Company's forward-looking statements.
CONTACT: Sundial contacts Financial Relations Board contacts
Leora Schachter (for CellStar):
212/201-4364 Bob Schwaller, General
or 972/830-2295
Joe Palladino, Media or
781/229-9599 Kristine Walczak, Analysts
or 312/640-6723
CellStar contacts: or
Austin P. Young Maxine Levy, Media
972/466-5031 972/830-2123
or
Stephen P. Adams
972/466-5467 |
