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HUGHES NETWORK SYSTEMS AWARDED $48 MILLION WIRELESS TELEPHONY CONTRACT FOR TATARSTAN

             HUGHES NETWORK SYSTEMS AWARDED $48 MILLION
              WIRELESS TELEPHONY CONTRACT FOR TATARSTAN
    GERMANTOWN, Md., Aug. 21 /PRNewswire/ -- Hughes Network Systems, Inc. (HNS), has signed a contract worth US$48 million with the government of the Republic of Tatarstan of the Russian Federation for a digital wireless telephone system.  The system, to be installed in eight major cities in Tatarstan, is scheduled to be operational by 1993.
    The first phase of the contract, which was initiated by the president of Tatarstan, Mintimer Shaimiyev, has now been successfully completed.  This phase consisted of an engineering analysis of the existing telephone system and recommendations for installation of an advanced digital wireless system for voice and data communications.
    The second phase of the project, now underway, will establish 11 regional telephone "cells" employing Extended Time Division Multiple Access (E-TDMA), a digital cellular technology developed by HNS. This phase includes the delivery of a GMH 2000R digital wireless network, and 50,000 subscriber terminals, comprising 47,500 multisubscriber units (fixed terminals that will be used in homes and businesses) and 2,500 mobile terminals that will be installed in vehicles.
    Said Mukhammat Sabirov, prime minister of Tatarstan:  "The decision of the government of Tatarstan to use digital technology in telephone communications was dictated by the republic's need to provide the people of Tatarstan with the best telephone system as quickly as possible.  The need for reliable communications is very apparent due to the growth of our industries.  Installation of this system will benefit our country by providing affordable communications services for local, long distance and international users."
    The GMH 2000R advanced digital cellular system employs the E-TDMA transmission scheme and digital speech interpolation (DSI) techniques to increase both capacity and quality while decreasing cost.  DSI takes advantage of silent intervals that occur in conversations and, in real time, assigns active speech from a number of conversations to different radio frequency channels.  This technology increases system capacity up to 20 times over conventional analog technologies while significantly lowering capital and operating costs.
    Jack Shaw, chairman of HNS, commented:  "This project for Tatarstan represents a quantum leap in telecommunications technology. We are proud to have been selected to implement Tatar's transition from a low-capacity, mechanical network to a state-of-the-art, high capacity digital wireless system.  We are looking forward to implementing E-TDMA on this landmark network."
    Hughes Network Systems, Inc., is a world leader in advanced digital telecommunications.  Provider of the M6100 analog/digital dual-mode cellular phone and the GMH 2000R digital cellular network, HNS also offers GMNet, a cellular activation service operational through General Motors dealerships in several major U.S. cities. Headquartered near Washington, HNS is a subsidiary of Hughes Aircraft Company, a unit of GM Hughes Electronics.  Trading in Class H common stock of General Motors relates to the financial performance of GM Hughes Electronics.
    -0-                   8/21/92
    /CONTACT:  Judy Blake, manager, public relations, Hughes Network Systems, 301-428-7113/ CO:  Hughes Network Systems, Inc. ST:  Maryland IN:  TLS SU:  CON 507 08-21-92 09:56 EDT TW -- DC003 -- 2067 08/21/92 10:23 EDT
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Date:Aug 21, 1992
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