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WirelessDevNet.com Press Release

Nortel and LG Electronics Team Up on WiMAX Solutions


NEW ORLEANS – Nortel [NYSE/TSX: NT], a global telecommunications leader in wireless infrastructure and advanced third generation (3G) technologies, and LG Electronics [06657.KS], a global leader in the next generation mobile industry, have announced plans to work together to jointly develop and market WiMAX products.

This follows the January 2005 announcement of a Memorandum of Understanding (MoU) between Nortel and LG Electronics to establish a joint venture for providing high quality, leading edge telecommunications equipment and networking solutions to Korea and other markets globally.

The companies' global WiMAX strategy, announced today at CTIA Wireless 2005, the world’s largest wireless tradeshow, marries the power of Nortel’s carrier packet networking and OFDM/MIMO (Orthogonal Frequency Division Multiplexing/Multiple In, Multiple Out) leadership with LG Electronics’ mobile telecommunications and digital convergence expertise.

"This leverages the combined strengths of Nortel and LG Electronics to provide end-to-end solutions and investment in innovative technologies that will position our customers for greater success,” said Dave Murashige, vice president, Carrier Networks, Nortel. “We are focused on the continuing evolution of wireless broadband and its increasing role in communications networks."

“Nortel’s and LG Electronics’ strengths will combine powerfully to deliver the future WiMAX vision,” said Jae Ryung Lee, executive vice president, Networks, LG Electronics. “With the advent of 802.16e, mobility solutions for broadband wireless will become possible, and Nortel is an acknowledged leader in networking technologies that will be married with WiMAX access to enable that vision.”

Nortel and LG will develop WiMAX solutions based on the 802.16e standard and the WiMAX networking specification, currently under development within the WiMAX Forum. The companies are planning customer WiMAX 802.16e trials in the second half of 2006.

Nortel believes that the combination of OFDM and MIMO can be realized in 802.16e and WiMAX. These technologies provide greater spectrum efficiency, which is needed to scale wireless broadband systems for large numbers of users and high data throughputs. Nortel has invested in advanced development of OFDM and MIMO for the past six years and has demonstrated the benefits and commercial feasibility of these technologies to more than 100 customers.

IEEE 802.16e is a point-to-multipoint broadband wireless access standard that will support fixed, nomadic and mobile wireless broadband connectivity without requiring direct line-of-sight access to a base station. In a mobile deployment, WiMAX-based solutions can deliver wireless broadband data with cost-effective macrocellular deployments.

Nortel is a principal member of the WiMAX Forum*, an industry-led organization that promotes interoperability and certification of broadband wireless products for delivery of faster, more affordable data, voice and video services for businesses and consumers. In addition, Nortel recently announced a MIMO/OFDM lab demonstration of large data transfers with peak data rates at 37 Mbps over a standard 5MHz PCS band.

LG Electronics has been rapidly growing as a major contributor in IEEE 802.16e. The scope of the company is extending to make it one of the major technical members in WiMAX and IEEE 802.21. With these activities, LG Electronics is the first mover to get to solid broadband wireless access technologies.

Nortel is an industry innovator and at the forefront of all broadband access technologies, including wide area cellular, wireline and wireless LAN. Nortel has designed, installed and launched more than 300 wireless networks in over 70 countries. Nortel was the industry’s first supplier with wireless networks operating in all advanced radio technologies (GSM/GPRS/EDGE, CDMA2000 1X and 1xEV-DO, UMTS and WLAN), and is the only end-to-end provider of all next generation wireless solutions, as well as edge and core network solutions for IP, ATM and optical transport.

About LG Electronics, Inc.
LG Electronics, Inc. [06657.KS) is a global force in electronics, information and communications products with 2004 annual sales of US$38 billion (consolidated). With more than 66,000 employees working in 76 subsidiaries in 39 countries around the world, LG Electronics is comprised of four main business companies including Mobile Communications, Digital Appliance, Digital Display, Digital Media.

LG Electronics Mobile Communications Company is the world’s leading manufacturer of WCDMA (UMTS), CDMA and GSM handsets, and the fastest growing manufacturer of mobile phones worldwide. The company provides a total range of wired and wireless solutions, and is rapidly establishing a global presence as it cultivates international market share in 3G handsets. For more information please visit www.lge.com.

About Nortel
Nortel is a recognized leader in delivering communications capabilities that enhance the human experience, ignite and power global commerce, and secure and protect the world’s most critical information. Serving both service provider and enterprise customers, Nortel delivers innovative technology solutions encompassing end-to-end broadband, Voice over IP, multimedia services and applications, and wireless broadband designed to help people solve the world’s greatest challenges. Nortel does business in more than 150 countries. For more information, visit Nortel on the Web at www.nortel.com. For the latest Nortel news, visit www.nortel.com/news.



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