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Nortel Networks Completes Deployment of 3G CDMA Network for Telefonica Celular in Brazil


High Capacity Wireless Data Network to Enable Roll Out of Advanced Wireless Services

SAŐ PAULO, Brazil - Nortel Networks* [NYSE/TSX: NT] has completed deployment of a third generation (3G) Wireless Data Network for Telefonica Celular in the state of Espirito Santo, Brazil, enabling the operator to launch mobile Web browsing, e-mail access with large attachments, and other advanced wireless services to customers in the main districts of the cities of Vitória, Vila Velha, Cariacica and Serra, the Goiabeiras Airport and throughout the entire coastal areas of Vitória and Vila Velha.

Under a supply agreement signed in 2001, Nortel Networks has deployed, expanded and upgraded Telefonica's wireless network using radio access and IP (Internet Protocol)-based switching products from Nortel Networks Univity* CDMA2000 1X portfolio. Nortel Networks Wireless Data Network infrastructure has positioned Telefonica to drive down operational costs while enabling data access at speeds up to 153 kilobits per second.

"Having high-speed Internet access anytime, anywhere, finally gives the user the freedom promised by the concept of mobile Internet," said Paulo Cesar Texeira, executive vice-president of Telefonica Celular. "We can say that this launch will change the way people will communicate and how companies will do business in Espírito Santo."

"Nortel Networks works closely with its customers to help protect their investments," said Herve Adam, managing director, Nortel Networks Brazil. "We deploy Wireless Data Networks that are cost-effective and support differentiated services to help drive profitability."

Nortel Networks Univity CDMA technology maximizes existing spectrum and hardware resources to accommodate subscriber growth while reducing operational expenditures. A leader in CDMA since 1995, Nortel Networks has designed and deployed CDMA over varying terrain and population densities for more than 60 operators in 15 countries, including more than 15,000 CDMA2000 1X base stations. Nortel Networks is currently implementing CDMA2000 1X networks with leading customers around the world, including Verizon Wireless, Sprint PCS, Bell Mobility, TELUS Mobility, SMARTCOM PCS (Chile), SERCOM (Guatemala) and BellSouth Ecuador.

Nortel Networks is an industry leader and innovator focused on transforming how the world communicates and exchanges information. The Company is supplying its service provider and enterprise customers with communications technology and infrastructure to enable value-added IP data, voice and multimedia services spanning Wireless Networks, Wireline Networks, Enterprise Networks, and Optical Networks. As a global company, Nortel Networks does business in more than 150 countries. More information about Nortel Networks can be found on the Web at www.nortelnetworks.com.



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