Cellnet and Motorola Break $1 Billion Barrier With GSM Expansion Contract.

ARLINGTON HEIGHTS, Ill.--(BUSINESS WIRE)--Sept. 16, 1997--GSM cellular network operator Cellnet and Motorola Inc.'s Cellular Infrastructure Group (CIG) have marked a 14 year relationship with the announcement of a $70 million contract to expand Cellnet's UK network. The total amount of Motorola CIG equipment business with Cellnet to date is now over $1 billion.

Motorola is installing its new generation M-Cell(TM)6 and M-Cell2 GSM base transceiver stations to enhance capacity and coverage on the Cellnet GSM network, which currently serves some 1.4 million UK subscribers. The work is expected to be completed at the end of 1998.

Mike Tiplady, Cellnet's Technology Director, said: "We have a long-standing and highly successful relationship with Motorola, and as a major supply partner they have played a leading role in the development of our GSM network, which is now one of the largest in the world. This new contract is part of an ongoing enhancement programme which will enable the Cellnet network to be maintained to the standards of quality demanded by our subscribers."

Cellnet is also trialing GSM technology at 1800MHz, using a test license in a non-commercial environment. Motorola has supplied Cellnet with 1800MHz handsets and dual band 900/1800MHz handsets to use for the trial.

Motorola CIG is currently the only cellular manufacturer to have the multiband/dual band solution available for commercial networks. Network operators with both GSM900 and 1800MHz licenses can utilize Motorola's Advanced Load Management software feature to effectively control subscriber traffic across the two frequencies. The first dual band phone was launched by Motorola earlier this year.

Motorola CIG has worked with Cellnet since 1984, when the 900 MHz TACS analogue system was implemented in the UK. Cellnet's first GSM test system from Motorola CIG was implemented in 1991, with commercial launch in 1994.

Paul Strzelecki, Vice President and General Manager of Motorola's European Cellular Infrastructure Division (ECID), said: "We are committed to ensuring that the Cellnet network remains one of the most innovative and successful in the world. We will continue to work with Cellnet to develop new technologies and services -- to maintain the leading edge in an increasingly competitive marketplace."

Motorola CIG is one of the world's leading providers of GSM systems and infrastructure equipment. To date, CIG has won more than 80 contracts to deploy GSM at 900 and 1800MHz worldwide. Motorola CIG is the only infrastructure vendor that provides the three fastest-growing digital technologies, GSM, CDMA (Code Division Multiple Access) and PDC (Personal Digital Cellular), for cellular and PCS (Personal Communications Systems) worldwide.

Motorola, Inc. is one of the world's leading providers of wireless communications, semiconductors and advanced electronic systems, components and services. Motorola's 1996 sales were $28 billion.

For more information on Motorola CIG, visit the web site at http://www.mot.com/cig .

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