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Strategies & Market Trends : Technical analysis for shorts & longs
SPY 691.88-0.3%Jan 30 4:00 PM EST

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To: Johnny Canuck who wrote (19676)2/5/1999 6:46:00 PM
From: Clint E.  Read Replies (2) of 70308
 
Hi Harry. This is the kind of ALA+MOT agreement that makes sense.

ALCATEL AND MOTOROLA SIGN A WORLDWIDE COOPERATION AGREEMENT FOR


Business Wire
February 5, 1999, 9:30 a.m. PT

CDMA Infrastructure Solutions and UMTS
Development

Business Editors, Telecommunications Writers

PARIS and ARLINGTON HEIGHTS, Ill.--(BUSINESS WIRE)--Feb. 5,

1999--

Alcatel and Motorola offer customers advanced digital mobile

networks and jointly develop new generation mobile products

Alcatel and Motorola, Inc. today announced a global agreement,
effective immediately, to work together to develop, market and deliver
total, integrated CDMA digital network infrastructure to customers
worldwide. The companies also have agreed to jointly develop a third
generation Mobile Switching Center (MSC)-based UMTS mobile
communications network offering.

This agreement considerably reinforces and enlarges the scope of
the cooperation initiated two years ago. It allows both companies to
leverage their complementary resources, including research and
development expertise. It will help to ensure customers have rapid
access to the latest technologies with closely integrated systems and
benefit from faster product availability to both CDMA solutions and
new future MSC-based UMTS applications.

Alcatel and Motorola to offer CDMA customers advanced digital

networks

This agreement positions the two companies together as worldwide
leading suppliers of CDMA network solutions.

Alcatel and Motorola will work together to develop new
functionality and features for Motorola's current EMX-based CDMA
switching platform. To accomplish this, Alcatel and Motorola plan to
establish a team of engineers who will work solely on EMX enhancement
projects at a dedicated Center of Excellence in Plano, Texas. Prior to
its recent merger with Alcatel, the former DSC Communications
Corporation designed and built the EMX switch. EMX software was
developed jointly by Motorola and DSC.

Additionally, under preferential terms, Motorola will also offer
customers Alcatel's S12 switching platform for MSC-based CDMA networks
and Alcatel will add Motorola's state-of-the-art CDMA radio base
stations and base stations controllers to its portfolio. All
integrated CDMA network solutions offered by Alcatel and Motorola will
be compliant with all the major open network architectures for CDMA
including CDG IOS and IS 634 for cellular and PCS systems.

Alcatel and Motorola to jointly develop third generation UMTS

mobile network solutions

The aim of this agreement is to allow each company to leverage
their respective expertise to respond more quickly and effectively to
customer requests for commercial UMTS solutions based on adopted
standards.

Specifically, Alcatel will develop an MSC-based UMTS radio
network controller (RNC) that interfaces with its core network, while
Motorola will develop a radio base station (node B) which interfaces
with the Alcatel RNC. These products will be made available to enhance
the UMTS portfolios of both companies.

"Alcatel's and Motorola's primary goal is to achieve total
customer satisfaction by presenting a single voice to CDMA customers.
We believe adding Alcatel's switching expertise to our portfolio of
offerings demonstrates our commitment to delivering best-of-breed,
integrated networks solutions," said Bo Hedfors senior vice-president
and president, Motorola Network Solutions Sector. "The ability to
build off of each other's success is the ideal incentive for both
Motorola and Alcatel."

"This agreement allows us to significantly strengthen our offer
to customers in the cellular infrastructure market. It will also
reinforce our position in the field of mobile switching," said Jo
Cornu, chief operating officer for Alcatel. "By collaborating with
Motorola on UMTS, we have the opportunity to deliver the first systems
complying to UMTS standards in the market place while ensuring an
efficient and cost-effective use of R&D resources. We will bring our
solutions to customers quicker and offer them the integrated
world-class products they need to successfully compete."

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