Lucent and Novatel to supply 3G UMTS PC card modems to O2 and T-Mobile

March 17, 2004

Lucent Technologies and Novatel Wireless announced an agreement with O2 Germany and T-Mobile Germany to supply 3G Merlin U530 UMTS PC card modems -- jointly developed by Lucent and Novatel Wireless -- to support O2's and T-Mobile's commercial 3G service rollout in Europe.

The Merlin U530 Wireless PC Modem Cards will enable O2 and T-Mobile to offer businesses and consumer customers services such as streaming video and audio, secure mobile access to corporate networks including e-mail with large attachments -- and other information stored behind corporate firewalls -- at speeds of up to 384 kilobits per second.

Lucent also will collaborate with O2 on an "enterprise support programme," which will include joint sales and marketing activities designed to support O2's commercial 3G UMTS service launch. This includes a joint demonstration of mobile high-speed data with the Merlin U530 cards at CeBIT 2004. Lucent and O2 will be jointly discussing the benefits of the enterprise support programme with enterprises and network operators on Lucent's stand, Hall 27, Stand B 38.

"By using the Merlin U530 UMTS data cards to deliver high-speed data services, we will be able to ensure that we fulfill the mobile office needs of our business customers right from the start," said Norbert Holzle, senior vice president, Marketing & Sales Business at O2. "We will also benefit from Lucent's experience to define and customize 3G UMTS services to meet business needs."

"The announcement demonstrates our belief that high-speed data services over 3G UMTS networks mean time savings and increased efficiency for mobile enterprise customers. We are pleased to support O2 as they introduce commercial 3G UMTS services, and look forward to collaborating to develop sales and marketing activities," said David Poticny, president Lucent Europe.

Lucent will be demonstrating 3G UMTS services using Merlin U530 cards and Lucent's end-to-end UMTS infrastructure, using O2's UMTS spectrum. Among the high-speed data applications shown are e-mail, access to the Lucent intranet through a VPN (Virtual Private Network), video-conferencing and roaming between UMTS and Wireless Local Area (WLAN) or "Wi-Fi" network. Visitors can also experience a "smart client" application, directing users to the wireless network of choice (either UMTS or WLAN) -- based on a preference for either the fastest, or most cost-efficient network.

Under the terms of a multi-million dollar supply agreement with T-Mobile, Lucent and Novatel Wireless will supply the Merlin U530 PC Card Modems to support the commercial rollout of high speed data in Austria, Germany and UK.

"These services are particularly attractive to business users, and we are pleased to continue supporting T-Mobile as the company develops 3G high-speed data and multimedia services on its network," said David Poticny.

The contract follows T-Mobile's recent evaluation of its joint UMTS pilot network in Nuremberg with Lucent. The trial has demonstrated the readiness of Lucent's UMTS offer and the benefits of the UMTS high-speed data solution for end users from T-Mobile's enterprise customers such as Datev and Sandata. Lucent's UMTS solution offered these customers benefits such as an average 11% increase per week in customer facing time, more effective out of office productivity and increased sales potential.

T-Mobile is demonstrating the Merlin U530 in Deutsche Telekom's stand at CeBIT 2004, Hall 26, Stand A01. Lucent and Novatel Wireless are demonstrating 3G UMTS services using the Merlin U530 cards and Lucent's end-to-end UMTS infrastructure in Lucent's stand at CeBIT 2004, Hall 27, Stand B38.