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CellPoint and E-Plus Sign Group License Frame Agreement for Mobile Location Systems Terms Negotiated for Operators Within the KPN-Group

URL(s): www.cellpoint.com


LONDON, July 3, 2001--CellPoint Inc. (Nasdaq:CLPT) (STOCKHOLM:CLPT.), a global provider of mobile location technology and services, announces the frame agreement for a group license of CellPoint's Mobile Location System (MLS) for operators within the KPN-Group.

The contract covers the German operator E-Plus Mobilfunk GmbH & Co. KG and has an option for all operators in the KPN Mobile N.V. group.

E-Plus debuted the MLS technology at CeBIT in March and already has thousands of new users. "CellPoint's Mobile Location System supports both legacy and GPRS handsets along with roaming, enabling our customers to access the same secure location services across our extensive network of European partners," said Alexis Trolin, program manager for location based services at E-Plus. "The advanced provisioning and billing functions form the basis for a new breed of business models for the wireless Internet. These are key features when selecting enabling technologies for our partners and best-in-breed content providers across Europe and Asia."

"We said earlier that this is a strategic partnership for CellPoint and we are pleased to announce an agreement for the E-Plus GSM/3G network with an optional extension to the rest of the KPN-Group," said Lars Persson, CEO of CellPoint Systems. "This is the first such agreement in the world for a network-based GSM/3G location system designed for roaming, and that is of paramount importance to GSM operators."

"The CellPoint MLS offers rapid deployment of strategic, location-aware applications with our partners as well as third parties, giving us a significant head start over our European competitors," added Trolin. "Our partner network extends across Europe and Asia and we are creating the mobile Internet services of the future; CellPoint is a key enabler for our vision."

CellPoint's Mobile Location System (MLS) is a network-based solution that works across multi-vendor GSM infrastructures and does not require any network upgrades or overlays. MLS is the central software node in a locations services system. It has open programming interfaces and integrates high-security location technologies with applications, services, mapping, content, terminals and browsers.

There are more than 500 million GSM users in the world today and GSM is the dominant digital cellular standard in the world. Location services are widely predicted to be a core service offering by 2005 and a major component of operator revenues in the coming years. "The KPN-Group agreement is another step in establishing footprints across Europe - we've already got commercial location platforms installed in Sweden, France, Germany and the Czech Republic," added Persson.

The KPN-Group (www.kpn.com) is a fast-growing, international telecommunications company that offers business and residential customers a wide range of high quality, innovative telecommunications services. KPN Mobile has a number of holdings in foreign providers of telecommunications services. The company has participating interests in Germany (mobile operator E-Plus), Hungary (Pannon GSM), the Ukraine (UMC) and Indonesia (Telkomsel). In Belgium, KPN Orange is now wholly owned by KPN Mobile. KPN is the largest Dutch telecommunications company, with sales of EUR 13.5 billion during 2000 and 45,151 employees at the end of 2000. Worldwide, the company serves approximately 25 million customers.

E-Plus (www.eplus.de) is a German cellular operator with more than 7,000,000 subscribers. E-Plus is owned by KPN (77.5%) and BellSouth (22.5%). E-Plus has a number of strategic partnerships in Europe, including PTT Telecom in Holland and KPN Orange in Belgium.

CellPoint Inc. (Nasdaq and Stockholm OM Exchange: CLPT, www.cellpoint.com) is a US company with subsidiary operations in Sweden, Great Britain and South Africa delivering location and wireless telemetry services in cooperation with cellular operators worldwide. CellPoint's end-to-end cellular location technology offers a high-capacity solution for multi-vendor, unmodified GSM networks and uses standard GSM or WAP phones and standard Internet services. Several commercial applications are available for business and personal location services including Resource Manager(TM) for mobile resource management, iMate(TM) for location-sensitive information and Finder(TM), an application for locating friends and family. Subsidiary Unwire's programmable telemetry terminal servers are also integrated with the CellPoint System Platform enabling a broad range of applications for wireless remote management and control.

CellPoint(TM), Finder(TM), Resource Manager(TM), iMate(TM) and CellPoint Systems(TM) are trademarks of CellPoint Inc. Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Act of 1995. Actual results may differ materially from those projected in any forward-looking statement. Investors are cautioned that such forward-looking statements involve risk and uncertainties which may cause actual results to differ from those described.



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