Hutchison names NEC as 3G device supplier

Hong Kong, Tokyo, Aug 1, 2001 - The Hutchison Whampoa Group today announced that it has named NEC Corporation as a preferred supplier of Third Generation (3G) wireless devices. Under the arrangement, NEC will begin delivery of its 3G wireless devices in the third quarter of 2002 to Hutchison's 3G operations based in Italy, Australia, Austria, Sweden and the United Kingdom. This is NEC's first and largest agreement for 3G devices outside of Japan. Hutchison has earlier announced an agreement with Motorola also for the provision of 3G devices.

The value of the contract was not disclosed.

The NEC models covered under this agreement are all dual mode (2G:GSM/GPRS and 3G:UMTS/W-CDMA), offering transition between 2, 2.5 and 3G systems, providing consumers with assured coverage regardless of location. The devices will also include the most up-to-date mobile data applications, including JAVA functions and multimedia services.

Canning Fok, Group Managing Director of Hutchison Whampoa said, "NEC has a proven track record in mobile internet and multimedia devices, having worked extensively with our strategic partner NTT DoCoMo. Since May this year, they have supplied 3G devices for DoCoMo's FOMA services and with this agreement, Hutchison is all set to launch 3G services in our markets offering customers a choice of devices."

"NEC is now focusing its businesses on Broadband Mobile Internet, and third-generation mobile is the key business where NEC is putting its major resources and efforts." said Ben Nakamura, Associate Senior Vice President and Executive General Manager of NEC's Mobile Terminal Business Unit. "NEC is confident of leading the 3G and mobile Internet field in supplying devices with the most sophisticated features and of the highest quality and reliability. This agreement with Hutchison gives us a strong foothold to take our position forward."

NEC has been actively promoting the development of W-CDMA technology and has always been at the forefront in the R&D and standardization activities in this field. NEC has also been actively involved in W-CDMA technical trials and field trials all over the world with leading carriers. It has already delivered 3G devices and infrastructure systems for commercial services.