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TCS Celebrates Anniversary of Xypoint Acquisition

URL(s): www.telecomsys.com


ANNAPOLIS, Md., Jan 17, 2002 - TeleCommunication Systems, Inc. (TCS) (Nasdaq:TSYS) today celebrates the anniversary of its acquisition of Xypoint Corporation.

The acquisition placed TeleCommunication Systems at the forefront of the wireless location business, expanded its carrier customer base, added a carrier-grade Network Operations Center to TCS resources and accelerated the deployment of integrated mobile messaging products.

"Since early 2000, we had incorporated some location and presence technologies into our product portfolio, realizing that location and presence would be highly complementary to our messaging solutions," said Tim Lorello, Chief Marketing Officer of TCS. "Acquiring a world-class and recognized company in location became a top priority after going public in August, 2000. Xypoint was an excellent match of technology and company philosophies."

The addition of Xypoint now allows TCS to offer location and presence solutions to the market either hosted, as part of a carrier-grade Network Operations Center, or as a product. Capitalizing on TCS' prior expertise in building, offering, and supporting product solutions to wireless carriers, the merged company has developed its Xypoint(R) Location Platform. The platform consists of a Presence Manager, a Privacy Manager, and a Location Manager, which includes a Mobile Positioning Center (MPC) that supports various wireless location technologies in ANSI-41 networks and a Gateway Mobile Location Center (GMLC) used in GSM networks.

Over the past year, TCS has placed privacy in center stage, being one of the leaders in combining location, presence, and privacy technologies. It has taken a co-chair and founding role in the PAM (Presence and Availability Management) Forum, partnered with key companies in the privacy sector and positioned itself aggressively as a provider of location-based services.

Since the acquisition, TCS has become one of the country's largest suppliers of wireless E9-1-1 location services. With more than 9 million active subscribers throughout the nation and growing, TCS provides the essential backbone wireless location technology and service components via its Xypoint(R) Location Platform to twenty-two carriers in twenty-two states. The platform enables wireless carriers to meet their Phase I and II regulatory obligations under the FCC's E9-1-1 order with either TCS-hosted or carrier-operated solutions. Additionally, the Xypoint(R) Location Platform operates at a level of 99.999% reliability, providing the pubic safety community with above-standards performance capabilities.

Within months of the acquisition, TCS launched its inter-carrier messaging service, the Message Distribution Center (MDC), which is hosted in the acquired Network Operations Center. The MDC enables text-messaging providers to send messages to wireless devices by simply entering the recipient's phone number. Network mediation capabilities built into the MDC allow inter-carrier messaging by providing a conduit between carrier networks to manage messaging traffic.

As TCS has demonstrated for the past fifteen years, the company will continue to build its products and services to anticipate their carrier customers' immediate and long-term needs. "If a wireless subscriber sends or receives text messages, receives voice mail notification, gets a wireless email, or needs to call 911, there is a good chance that TCS software is involved," said Maurice B. Tose, Chairman, President and CEO of TCS. "This last year has been an exciting and fruitful time as we have blended these world-class organizations in order to enrich people's wireless lifestyle."

ABOUT TELECOMMUNICATION SYSTEMS, INC.

TCS is evolving wireless technology. As the key architect of wireless messaging and location technology, TCS is delivering essential software, services and solutions to carriers that enable people to better manage their mobile lifestyle. TCS occupies a privileged position within the core of the wireless carrier network enabling it to develop technology that ensures the security, reliability and privacy of people's wireless messages.

Today, TCS is a preferred technology provider to carriers worldwide including Vodafone, Cingular, Verizon Wireless, Telefonica and Qwest. Through its Solutions group, TCS deploys advanced technologies and products that promote the continued evolution of wireless services. Visit the web site at www.telecomsys.com.



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