Motorola Wins China Mobile GPRS Contract

BEIJING and ARLINGTON HEIGHTS, Ill., December 21, 2000Motorola, Inc. (NYSE:MOT) has been awarded a General Packet Radio Service (GPRS) network supply contract by China Mobile Communications Corporation (China Mobile), China's leading GSM operator. Financial details of the agreement were not disclosed.

Under the terms of the deal, Motorola will deliver its industry-leading GPRS high-speed mobile data network to four major Chinese cities. With the widest GSM network coverage in China, China Mobile will be able to offer GPRS service to the rapidly expanding Chinese mobile cellular market, utilizing the world's first proven commercial GPRS system from Motorola's Global Telecom Solutions Sector and strategic alliance partner Cisco Systems, Inc. (NASDAQ:CSCO).

The new service, planned for the first half of next year, is expected to serve an estimated 110,000 subscribers in Hangzhou, Chengdu, Tianjin, and Beijing, the capital of China. These China Mobile subscribers will be able to enjoy the "always on, always connected" feature of GPRS technology, plus a wealth of data applications, including e-commerce, email, and data transfer through the new GPRS network. Motorola's Chinese-language GPRS phones, the model L2000g, as well as the A6288, which offers a Chinese touch screen, are expected to available in the China market early next year.

"In a rapidly growing cellular market, China Mobile has continually offered its subscribers services that exceed their expectations. The advent of GPRS is the next stage in the development of mobile networks, and the first stage in the move towards third generation networks," said Ruey Bin Kao, Motorola vice president and general manager of the China Telecom Carrier Solutions Group. " We value our strong relationship with China Mobile and we look forward to working closely with them as we develop China's Wireless Internet. Mobile phone users in China will soon start using some of the latest wireless services made available thanks to the new technology," said Kao.

Motorola, through its alliance with Cisco, is the only commercial supplier worldwide with complete end-to-end GPRS network solutions in commercial service. China Mobile is the latest GSM operator to announce its selection of the Motorola/Cisco GPRS solution, which is already being deployed across Europe and in India and Malaysia. Motorola has been a major GSM network supplier to China Mobile since 1995.

The Motorola/Cisco GPRS data solution enables operators to take advantage of many new revenue opportunities. Together Cisco and Motorola are driving market growth and developing applications and value-added services to provide operators with innovative and competitive offerings for their subscriber base.

China Mobile is a state-owned enterprise established after the reorganization of China's telecommunications industry last year. Its major businesses include mobile voice, date, Internet protocol (IP) telephony and multimedia services. China Mobile, the largest GSM operator in China with a GSM network that offers national coverage to more than 65 million subscribers, has roaming agreements with 108 operators in 59 countries. For more information on China Mobile, please visit http://www.chinamobile.com/.

The Motorola and Cisco strategic alliance delivers end-to-end wireless communications solutions to operators worldwide through a powerful combination of Motorola communications solutions and Cisco Internet technologies. Over the past year, the alliance has introduced an open Internet-Protocol (IP) network architecture that integrates data, voice and video services for mobile networks, and provides users with a broad range of wireless Internet access solutions. The alliance also has secured a leadership position in the deployment of GPRS systems worldwide, and through these commercial launches is providing a critical path to third-generation (3G) mobile communications. Motorola and Cisco continue to work together on joint development of IP network architecture and products, the promotion of open standards, and the creation of joint ventures, such as the Invisix Centres of Excellence located in Tokyo; Stockley Park, UK; Fort Worth, Texas; and San Jose, Calif.

Motorola is a global leader in providing integrated communications solutions and embedded electronics solutions. Sales in 1999 were $33.1 billion. For more information on Motorola, visit: www.motorola.com For more information on Motorola's GPRS solution, including details of the world's first commercial GPRS systems, visit: http://motorola.com/aspira/gprs/.

Cisco Systems (NASDAQ:CSCO) is the worldwide leader in networking for the Internet. Cisco news and information are available at www.cisco.com

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