New Tekelec Application Addresses Explosive Wireless Markets; G-Flex Provides HLR Cost Savings for GSM and DCS 1800 Operators.

MORRISVILLE, N.C.--(BUSINESS WIRE)--April 15, 1999--

Tekelec (Nasdaq: TKLC) announced today the introduction of G-Flex, a CCS7 relay. The G-Flex solution is a breakthrough application for GSM and DCS 1800 environments, which enables wireless providers to flexibly accommodate the explosive growth in subscribers and services. Leveraging the extremely high transaction rate and flexible routing capabilities of the EAGLE platform, G-Flex allows carriers to smoothly and evenly distribute CCS7 traffic routed to and from home location register (HLR) databases, significantly reducing costly HLR over-provisioning and easing database administration.

HLR databases contain vital record information associated with individual subscriber service profiles and, in most networks, multiple HLRs are required to accommodate the rapid growth in subscribers. According to a February 1999, report by Financial Times Ltd., West European cellular-telephone carriers added almost 40 million subscribers in 1998 representing an annual growth rate in excess of 68%. According to the same report, one U.K. carrier added over 200,000 subscribers in a single month for its popular "pre-paid" service.

With Tekelec's G-Flex solution, GSM operators can centralize number assignments in one location in the network. Today's method of assigning subscribers to HLRs is very rigid and results in lost HLR capacity that cannot be recovered. This problem is exacerbated by pre-paid service and will only become worse with time. G-Flex CCS7 relay allows network operators to flexibly assign a subscriber number to an HLR as an individual entry or as a member of a predefined range. This flexibility allows operators to precisely control the number of subscribers assigned to an HLR. By recovering lost HLR capacity, G-Flex can reduce the number of HLRs required in the network. Built on the industry-hardened EAGLE platform, G-Flex supports a high number of subscriber entries and can handle up to 20,000 transactions per second. Tekelec's technology is CE marked and ITU-standards compliant.

"The introduction of G-Flex exemplifies our ongoing commitment to supporting GSM and DCS operators. As subscribers depend increasingly on wireless services for voice, fax and internet access, operators must be equipped with the leading-edge technology to deliver intelligent services and accommodate the growing traffic load. With 32,000 link-years of reliable service, Tekelec is the ideal partner for global carriers enhancing their networks for future growth," commented Cecil Boyd, vice president and general manager of Tekelec's Network Switching Division.

Tekelec is a leading supplier of innovative network switching solutions and advanced diagnostic systems that enable rapid delivery of advanced communication products and services for the global communications marketplace. Tekelec's EAGLE platform is designed to meet the complex requirements of the converging IP / CCS7 network traditional CCS7 networks, enabling wireline, wireless and IP network operators to significantly reduce transport costs and deliver intelligent network services. Tekelec's diagnostic systems are used by communication suppliers and service providers to design, install and maintain their communications equipment and networks.

EAGLE and Tekelec logo are registered trademarks of Tekelec.

G-Flex is a trademark of Tekelec.

Visit Tekelec's web site at www.tekelec.com.