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Motorola Drives India's Next Wave of Telecom Expansion
Thursday February 19, 9:30 am ET
Wins GSM and CDMA Equipment Contracts for US$307 Million From Leading Indian Operators


NEW DELHI, India, Feb. 19 /PRNewswire/ -- Motorola Inc.'s Global Telecom Solutions Sector (GTSS) announced business wins of wireless equipment agreements worth over US$307 million from leading Indian operators BSNL, MTNL, and Tata Teleservices. These agreements include deployment of new networks, as well as expansion and up-grades of existing networks for both Global System for Mobile (GSM) communications and Code Division Multiple Access (CDMA) systems. Of the US$307 million in announced wins, substantially all of the orders were reported in 2003 and the majority of the revenue is expected to be recognized in 2004.
"India is expected to add at least 25 million new subscribers in 2004 which presents a tremendous business opportunity. Motorola is aggressively focused on growing its market-share in the Indian wireless infrastructure market. Winning a significant portion of new contracts being awarded is the first step in that direction," said Simon L. K. Leung, senior vice president, Motorola, Inc. and general manager, GTSS - Asia Pacific.

Motorola has been awarded GSM business by BSNL and MTNL. For BSNL, Motorola has been awarded the business for expansion of over 1 million lines in south India. This turnkey project includes value-added services such as General Packet Radio Service (GPRS) and Multimedia Messaging Service (MMS).

For MTNL, Motorola has been awarded the business as a result of a public tender, which will increase the number of GSM lines by 400,000 each in Delhi and Mumbai. The upgrade will be GPRS enabled and is capable of smoothly evolving to EDGE. The Motorola network will also deliver value-added services such as Pre-paid and Intelligent Networks and a complete billing solution for 1.5 million customers across the two cities.

Motorola has been awarded a CDMA contract by Tata Teleservices to expand the CDMA2000 1 X mobile phone network in Delhi, Gujarat, Maharashtra and Mumbai. The contract is among the largest CDMA contracts to be awarded globally.

Motorola's achievements as a wireless infrastructure solutions provider in India include:

-- Close to 40 percent of Indian GSM cellular subscribers rely on
Motorola supplied RF networks.
-- Motorola is the only vendor to have installed a network in all
metropolitan regions including five out of six wireless networks in
Mumbai.
-- Motorola deployed India's first GPRS network in Mumbai and India's
first CDMA network in Madhya Pradesh.
-- First commercial deployment of the Motorola Softswitch, for Tata
Teleservices in India.


"Going forward, besides offering next generation technologies to Indian operators, Motorola will also focus on providing value-added services such as managed network services and Push-to-Talk over Cellular," Leung added.

A portion of the purchase price of these contracts will be financed by Motorola.

Business Risks:

Statements about growth in subscribers in India, our future product offerings, and the impact of these contracts are forward-looking and involve risk and uncertainties. Factors that could cause actual results to differ materially from those in the forward-looking statements include unforeseen events related to the performance of the contract, changes in the growth of the markets in India and other factors found in Motorola's filings with the Securities and Exchange Commission.

About Motorola

Motorola Inc. (NYSE: MOT - News) is a global leader in wireless, broadband and automotive communications technologies that help make life smarter, safer, simpler, synchronized and fun. Sales in 2003 were US$27.1 billion. Motorola creates innovative technological solutions that benefit people at home, at work and on the move. The company also is a progressive corporate citizen dedicated to operating ethically, protecting the environment and supporting the communities in which it does business. For more information: www.motorola.com .

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners.


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