China´s largest listed telecommunications equipment manufacturer & local wireless solution provider, ZTE Corporation (Shenzhen: 000063,  Hongkong: 0763 ) and QUALCOMM Incorporated (Nasdaq:  QCOM) recently  announced that they have  entered into a global gpsOne license and distribution agreement.  Under the terms of the agreement, ZTE is licensed to promote and sell location positioning systems based on QUALCOMM´s gpsOne^® technology for both CDMA20001X and UMTS solutions in global markets. This agreement symbolizes that  ZTE has become China´s first authorized Global gpsOne Location License and Sales provider and more signifies that Chinese enterprises will vie to supply positioning systems in global market. This event is expected to bring variables to the traditional industry pattern.

 "ZTE continues to demonstrate its ambition and leadership in global 3G CDMA markets," said Jing Wang, Senior Vice President of QUALCOMM and Chairman of QUALCOMM Greater China.  "We are extremely pleased to be working with ZTE over the years as close partners and look forward to expanding our business cooperation with ZTE in the unfolding age of global 3G CDMA to bring gpsOne technology to 3G operators around the world."

"The agreement further extends close co-operations between ZTE and QUALCOMM," said Dr. Zhao Xianming, Vice President of  ZTE.  "This partnership enables us to bundle location-based services leveraging QUALCOMM´s gpsOne technology with CDMA2000  and UMTS solutions, which we believe will extend our competitive edge on a global stage."

The positioning technology has integrated satellite positioning and base station positioning technologies, featuring in high accuracy, fast transmission rate, low cost in network construction. It is already widely acknowledged by handset operators and is expected to become the most leading GPS technology in the global positioning industry.

According to a report from Cambridge Analysis Research, the global positioning services are expected to reach a revenue of USD$185 hundred million by the end of  2006. Over half of the mobile users will become mobile positioning service users at that time.

In China, gpsOne technology based network and service are available nationwide. China Unicom is providing multiple location-based services using gpsOne technology, which demonstrates value differentiation and advantage of CDMA network and QUALCOMM´s A-GPS technology. ZTE started co-operation with QUALCOMM on gpsOne in 2003 and has introduced multiple solutions and equipment including MPC, PDE, GIS middleware, handset, CDMA2000 1X data card and CDMA2000 1X wireless module.

As the leading wireless equipment manufacturer in global market, ZTE provides a full range of wireless equipment from various base stations, switching systems to end-user products like GSM, CDMA, UMTS, PCS. ZTE also provides rich value-added services and solutions like GoTa (Global open Trunking architecture ) services, short message service, mobile location services. Based on powerful technical strength and the capability of providing differentiated and customized solutions, ZTE wireless products have entered into over 50 countries around the world and ZTE has become China´s largest wireless equipment provider and also China´s first wireless brand.
ZTE Corporation was listed on the Shenzhen Stock Exchange in 1997 and on the Main Board of The Stock Exchange in Hong Kong in 2004. ZTE recorded contract sales of approximately US$4.11 billion in 2004.

QUALCOMM Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on the Company´s CDMA digital technology.  Headquartered in San Diego, Calif., QUALCOMM is included in the S&P 500 Index and is a 2004 FORTUNE 500^® company traded on The Nasdaq Stock Market^® under the ticker symbol QCOM.

The execution of the global gpsOne license and distribution agreement extends a long-term partnership between QUALCOMM and ZTE.  ZTE is the first Chinese telecommunications equipment manufacturer to enter into an R&D license with QUALCOMM for CDMA and is now QUALCOMM´S commercial licensee for CDMA 2000 and UMTS.