Advanced Communications Technologies -- New Patent Filing Holds Key to SDR Implementation of CDMA and 3G Applications.

Business Editors/High-Tech Writers

LOS ANGELES--(BUSINESS WIRE)--July 16, 2001

Advanced Communications Technologies Inc. (OTCBB:ADVC) (ACT-US), today announced that its Australian-based affiliate, Advanced Communications Technologies (Australia) Pty Ltd (ACT-Australia), has filed a key patent application relating to the company's 3G ready SpectruCell multiple protocol base station technology. The new patent filing directly addresses the implementation of CDMA (IS-95) on a software defined radio (SDR) platform. ACT-US holds the exclusive rights for SpectruCell in North, South and Central America.

In addition to several other key elements, this latest patent filing documents a method developed by ACT-Australia engineers for the software implementation of a Finite Impulse Response (FIR) filter utilized by the CDMA (IS-95) system on the company's software defined mobile wireless base station technology -- SpectruCell.

Whilst existing CDMA based technologies, like those patented by QUALCOMM (Nasdaq:QCOM), implement these filters in hardware, SpectruCell's design calls for an implementation in software radio via use of a digital signal processor (DSP). In order to reduce the processing resources required of the DSP, the filter has to be implemented as efficiently as possible.

The granting of this patent application, relating to ACT's new method of implementing IS-95 FIR (CDMA) on software defined radio, may remove the necessity to use chipsets from vendors like Qualcomm to perform the FIR function as it is done in conventional hardware based solutions.

This implementation of IS-95 FIR on software radio has been uniquely achieved by the ACT-Australia engineers. This was achieved by developing a process that results in a very efficient FIR 24-tap filter that replaces two filters, namely the baseband and phase equalisation filters, on the forward CDMA (IS-95) link. Perhaps most importantly, in addition to being extremely efficient the filter also satisfies all CDMA (IS-95) specifications for transmission filtering. Existing technologies, which can require as many as 70 taps (a process executed in software) normally consume too great a portion of the DSP's processing power to enable an appropriate solution capable of meeting the CDMA standard's specifications.

"ACT's development of this technological application has the potential to provide a significant roadblock for any competitor seeking to implement CDMA on an SDR platform," said Roger May, Chairman of ACT-US. "This and the other leading edge developments initiated by our engineering team only serve to further demonstrate the company's global leadership in software defined radio development and implementation for wireless communications infra-structure. With the SpectruCell technology now receiving much more recognition from both network operators and industry regulators in the USA and Europe, ACT's solid technological lead in SDR technology development and implementation should provide investors with an exciting new opportunity to capitalise on the potential of the rapidly expanding demand for SDR solutions in the global communications network infra-structure marketplace."

"The company has made enormous progress in all facets of the development of the SpectruCell SDR multiple protocol wireless base station since the successful testing of the prototype in October 2000. In addition, several other key communications platform based products (Third party 3G software development kit, core SDR processor engine, front end analog receiver card, and a digital up/down converter and switching card) with broad based market potential have also evolved from the development of the SpectruCell technology. It is therefore perhaps somewhat disappointing that the successful achievement of so many substantial and important new milestones by the company have not been reflected yet in the stock price of ACT-US (ADVC)."

May added, "I believe that the market place has not completely realized the full impact of the new relationship with the Lockheed Martin subsidiary RLM Systems in Melbourne, Australia. While the ACT engineers have been instrumental in the design, development and successful testing of the SpectruCell technology, we have been very fortunate in engaging the services of RLM to actually build the SpectruCell commercial product. RLM has an impeccable history of successfully building complex products that few companies have been able to achieve."

This latest new patent application, perhaps the most important to date, is in addition to ACT's existing patent filings which include: a method for implementing GSM on an SDR platform, a method for quadrature modulation and the core design of a software defined radio operating platform. With approximately an additional 30 proposed patent applications still to be filed, ACT-US expects to be in an extremely sound and secure position to generate substantial revenues from the licensing and royalty fees that can be generated by the protection of proprietary rights to new and evolving leading edge technologies.

About Advanced Communications Technologies

Advanced Communications Technologies Inc. (OTCBB:ADVC) in conjunction with its Australian based affiliate ACT (Australia) Pty Ltd, is a leader in the field of Software Defined Radio and has developed a proprietary, multiple-protocol wireless base station -- SpectruCell. Through eliminating the use of Qualcomm (Nasdaq:QCOM) chipsets and protocol specific hardware, and by conducting all signal processing in software, SpectruCell provides for simultaneous support of multiple mobile communications protocols (CDMA, WCDMA, UMTS, GSM & 3G) all in the same base station. Support for additional protocols is achieved through the uploading of additional software modules. By implementing the company's SpectruCell technology, network providers will be able to maintain service to their existing customer base and preserve the full utilization of their existing network infrastructure while at the same time securing a highly flexible migration path for evolving 3G-based protocols such as WCDMA and UMTS. SpectruCell is complemented by several other wireless technologies currently under development in Australia. Advanced Communication Technologies Inc. plans to market these products throughout North, South and Central America. For more information regarding Advanced Communications Technologies, visit www.act-usa.net.

The foregoing contains forward-looking information within the meaning of The Private Securities Litigation Act of 1995. Such forward-looking statements involve certain risks and uncertainties. The actual results may differ materially from such forward-looking statements. The company does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results (expressed or implied) will not be realized.