Motorola and Compaq in wireless deal! Is there more? -- Tuesday February 22, 8:00 am Eastern Time
Company Press Release
SOURCE: Compaq Computer Corporation and Motorola, Inc.
Motorola and Compaq Expand CDMA Wireless Phone Network in China
Beijing Benefits From Compaq Roaming and Fraud Detection Solutions And Motorola Business Support Systems, Base Stations and Controllers
ARLINGTON HEIGHTS, Ill. and HOUSTON, Feb. 22 /PRNewswire/ -- Motorola, Inc. (NYSE: MOT - news) and Compaq Computer Corporation (NYSE: CPQ - news) today announced the successful completion of an enhancement of a code division multiple access (CDMA) telephone network in Beijing, capital of China. The Beijing network is one of four model sites that together represent China's first wireless network based on CDMA technology and the current American National Standards Institute (ANSI)-41 standard.
To enhance Beijing's wireless network, Motorola's Network Solutions Sector (NSS) supplied the infrastructure equipment including the business support systems, base stations and base station controllers for the Beijing system. Compaq Telecommunications supplied its industry-leading ANSI-41 Home Location Register (HLR) solution that facilitates roaming and other services, as well as its Authentication Center solution, which manages fraud detection.
The two companies cooperated to build the wireless network for Beijing Telecom Great Wall as part of the Great Wall project, a large-scale effort to modernize the nation's telecommunications infrastructure and meet the burgeoning demand for wireless phone service. In addition to the Compaq- Motorola project in Beijing, three other groups, in Shanghai, Guangzhou and Xian, were selected to run one-year test programs prior to final implementation.
''Our primary goal is to ensure excellent cellular coverage for consumers,'' said Tom Hinton, vice president and general manager of Motorola NSS's Greater China Cellular Infrastructure Division. ''The alliance of Motorola and Compaq brings an industrial-strength, flexible, low-cost cellular phone service to Great Wall. And, the Compaq HLR provides cost savings, feature enhancement and ease of expansion.''
''Compaq Telecommunications is pleased to work with Motorola to bring the flexibility, low-cost and high quality of CDMA wireless service to the People's Republic of China,'' said Larry Schwartz, vice president and general manager, Compaq Telecommunications. ''We believe the Beijing project will be the first of many Motorola-Compaq projects in this booming telecom market.''
ANSI-41 is an open standard signaling protocol that enables communication between wireless networks, so that services are the same anywhere, anytime with other ANSI-41 networks. The standard is implemented in 85 countries around the world, including the United States. CDMA is the advanced technology that supports the ANSI-41 standard.
Beijing Telecom selected ANSI-41-based CDMA technology for the Great Wall project because of its spectrum usage, capacity and voice quality. CDMA technology allows between 15 and 20 times the calling capacity of conventional cellular systems.
Beijing Project Leverages Industry-Leading Technologies from Compaq and Motorola
With the Compaq Authentication Center, telecommunication providers effectively detect and prevent fraud -- without affecting legitimate subscribers. The Compaq ANSI-41 HLR is a high-performance, off-switch mobility management and call processing solution that lets subscribers roam without service interruption and enables them to use Intelligent Network (IN) services previously available only in their local calling area. Compaq's Home Location Register and Authentication Center are the industry's most widely deployed ANSI-41 mobility management and fraud prevention solutions.
Compaq leads the wireless telecommunications industry with a number of firsts -- including the world's first SS7-based SCP (service control point), the first off-switch programmable HLR and the first Windows NT®-based SCP. Currently, more than 35 million subscribers depend on Compaq for wireless service. Compaq offers a wide range of IN-based wireless and wireline platforms, applications and solutions that improve and manage network services and speed transactions for roaming, data, Internet protocol-(IP) based technology and other messaging applications for telecommunications service and equipment providers worldwide.
Motorola is a leading provider of digital wireless networks. Motorola's CDMA RF solution provides operators with superior performance, increased efficiency, low maintenance costs and remote diagnostic capabilities. Motorola's CDMA base station controller combines the control, network interface and transcoding functions into one logical entity. This high-speed, multifunction processing platform substantially increases network efficiency by moving message-intensive mobility functions from the switching system to the base station system.
Motorola NSS is responsible for manufacturing, sales and integration of cellular infrastructure and the developer of iDEN® network, an advanced digital system that combines two-way radio with telephone interconnect, messaging and data communications capabilities on a single network using a single subscriber device. NSS is a multibillion dollar business comprised of more than 18,500 associates worldwide. Headquartered in Arlington Heights, Ill., NSS has major engineering, marketing and manufacturing facilities in northern Illinois (Arlington Heights, Schaumburg, Rolling Meadows); Fort Worth, Tex.; Plantation, Florida; Phoenix, Ariz.; Swindon (United Kingdom); Cork (Ireland); Israel; Sao Paulo and Jaguariuna (Brazil); China; Hong Kong; Singapore; and Tokyo.
Company Backgrounds
Motorola is a global leader in providing integrated communications solutions and embedded electronics solutions. Sales in 1999 were US$30.9 billion. For more information on Motorola, visit: motorola.com
Motorola and iDEN are registered trademarks of Motorola, Inc.
All other brands or corporate names are trademarks of their respective owners.
Compaq Computer Corporation, a Fortune Global 100 company, is the second largest computer company in the world and the largest global supplier of computer systems. Compaq develops and markets hardware, software, solutions and services, including industry-leading enterprise computing solutions, fault-tolerant business-critical solutions, enterprise and network storage solutions, commercial desktop and portable products and consumer PCs. The company is an industry leader in environmentally friendly programs and business practices.
Compaq products are sold and supported in more than 100 countries through a network of authorized Compaq marketing partners and through direct sales. Customer support and information about Compaq and its products are available at compaq.com.
Compaq and the Compaq logo, Registered in U.S. Patent and Trademark Office. Product names mentioned herein may be trademarks and/or registered trademarks of their respective companies. This release contains forward- looking statements based on current expectations that involve a number of risks and uncertainties. The potential risks and uncertainties that could cause actual results to differ materially include the failure to close the contemplated transaction with Inacom; failure of systems associated with order fulfillment; the failure to close certain contemplated sales; changes in product mix; inventory risks due to shifts in market demand; continued competitive factors and pricing pressures; and market responses to pricing actions and promotional programs. Further information on the factors that could affect Compaq's financial results are included in its SEC filings, including the annual report on Form 10-K for the year ended December 31, 1998, and the latest quarterly report on Form 10-Q. |