Nortel Demonstrates Commitment to Leadership in 4G Mobile Broadband


Revolutionizes Wireless Economics with Launch of MIMO-powered Mobile WiMAX

BOSTON, Oct. 10 / -- Demonstrating the company's commitment to leadership in 4G, Nortel(x) (NYSE/TSX: NT) is dramatically rewriting the economics of wireless networking with the introduction of its Mobile WiMAX portfolio.

Nortel unveiled the industry's first end-to-end mobile MIMO-powered WiMAX solution to deliver 4G Mobile Broadband content - including Internet-Everywhere, mobile video, VoIP, streaming media, data applications and mobile electronic commerce.

Through this Nortel innovation, operators will be able to deliver video-grade content for as little as one-tenth the cost per bit of current 3G wireless networks. In addition, Nortel's MIMO-based mobile WiMAX can deliver three times the speed and twice the subscriber capacity with greater range and building penetration in urban areas compared to non-MIMO WiMAX solutions. This is designed to provide the lowest total cost of ownership model for operators, allowing them to deliver new revenue-generating applications with minimal investment. It also creates opportunity for new entrants to compete in the wireless content delivery business.

The mobile WiMAX solution will deliver speeds rivaling current home broadband Internet technologies with much greater efficiency than current wireless capabilities. Nortel is demonstrating the new solution at the WiMAX World USA 2006 trade show in Boston, today through to October 12 at booth 323. The company's end-to-end mobile WiMAX solution, based on the IEEE 802.16e wireless standard, is built on OFDM-MIMO, which enables greater coverage and spectral efficiency than other wireless technologies while providing the best cost of ownership for operators.

"WiMAX is a profoundly disruptive technology. It will change the way content is delivered, the way users access information and entertainment as well as the economics of wireless operators. As the first 4G technology available, WiMAX will transition the consumer experience from today's wireless connectivity to tomorrow's true mobility - users will be able to replicate their PC capabilities, such as blogging, video and VoIP, anywhere," said Peter MacKinnon, Nortel's General Manager of WiMAX and Chairman, LG-Nortel.

Nortel is able to achieve such capabilities because its mobile WiMAX solution is built on the foundation of OFDM-MIMO, a combination of innovative transmission and antenna technologies that maximizes spectrum to deliver the lightning-fast speeds and high bandwidth essential to high-quality mobile video and TV. The power and performance of Nortel's solution enables operators to deploy less network infrastructure, providing substantial savings. Nortel is the only company to provide OFDM-MIMO in its mobile WiMAX solution when initially available.

"The power of WiMAX for high-bandwidth applications opens a whole new world of mobility, that provides new capabilities and processes for businesses and new revenue-generating services for operators," said Godfrey Chua, research manager, Wireless and Mobile Infrastructure, IDC. "WiMAX has the potential to revolutionize entertainment, provide communication capabilities that haven't even been considered yet, and bring the true Internet experience to the mobile realm."

In addition to introducing the Mobile WiMAX portfolio, Nortel also announced its collaboration with chipset maker Runcom to fuel the WiMAX business advantages by delivering MIMO chipsets that will enable the WiMAX ecosystem of network technologies and devices.

Nortel's WiMAX solutions are being trialed with carriers around the world, in Asia, Europe and the Americas - and have been deployed by Netago Wireless with the Special Areas Board of Alberta in Canada and Craig Wireless in Greece.

Nortel's WiMAX solution offers flexible operations and is designed to operate in the 1.5, 2.3, 2.5 and 3.5 GHz frequencies. The solution is based on field-proven, next-generation platforms and leverages the Company's leadership in supplying carrier wireless solutions, including CDMA, GSM and WCDMA core technologies. The solution is comprised of new MIMO base station transceivers, access service network gateways, connectivity services networks, mobile subscriber stations and network management systems.

Nortel is one of the industry leaders in 4G Mobile Broadband based on its development of OFDM and MIMO and has been instrumental in driving standards in IEEE, WiMAX Forum, 3GPP and 3GPP2. The Company developed OFDM-MIMO expertise over the past eight years and holds key patents in the technology. Nortel is a member of the WiMAX Forum, an industry-led organization that promotes interoperability and certification of wireless products for delivery of faster, more affordable data, voice and video services to business and consumers.

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. Our next-generation technologies, for both service providers and enterprises, span access and core networks, support multimedia and business-critical applications, and help eliminate today's barriers to efficiency, speed and performance by simplifying networks and connecting people with information. 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 nortel.com/news.

Source: Nortel

CONTACT:
Pat Cooper
425-450-7523
pat.cooper@nortel.com

Camille Beasley
214-665-1331
beasleyc@fleishman.com

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