Date: 23/12/2008

Qualcomm and Tianyu sign 3G subscriber unit and modem card license agreement

Qualcomm and Beijing Tianyu Communications Equipment Co., Ltd., maker of mobile phones, today announced that they have entered into a subscriber unit and modem card/module license agreement (including PCB assemblies). Under the terms of the royalty bearing agreement, Qualcomm has granted Tianyu a worldwide patent license to develop, manufacture and sell CDMA2000 and WCDMA subscriber units and modem cards/modules. The royalties payable by Tianyu are at Qualcomm's standard worldwide rates.

"The worldwide demand for 3G products continues to grow rapidly, driven by increasing demand for mobile broadband services," said Derek Aberle, executive vice president and president of Qualcomm Technology Licensing. "With its K-Touch brand, Tianyu will now be well-positioned to provide CDMA and WCDMA 3G devices and continue its growth in Mainland China and internationally."

"Tianyu has a reputation for high-quality, low-cost and stylish products," said Ms. Xiuli Rong, general manager of Tianyu. "This license agreement with Qualcomm will enable us to develop, manufacture and sell our popular K-Touch devices with the speed and capabilities of 3G. We look forward to deploying Qualcomm's technology to expand our position in the market with new products."