GLOBAL TELECOM AND PHONE.COM ANNOUNCE FIRST WAP COMMERCIALIZATION IN BRAZIL

Global Telecom to use Phone.com's UP.Link Server Suite for Brazilian Market

Phone.com, Inc. (Nasdaq: PHCM), a leading provider of software and applications that enable the delivery of Internet-based information services to mass-market wireless telephones, and Global Telecom, a leading Brazilian Mobile Cellular operator, today announced that Global Telecom has licensed the Phone.com™ UP.Link™ Server Suite. Under the terms of the agreement, Global Telecom will use the UP.Link Server to provide Wireless Application Protocol (WAP)-based wireless Internet access to subscribers through the Global Telecom's CDMA network. Launched June 18, Global Telecom is the first Brazilian carrier to provide commercial WAP-based wireless Internet service.

Using Phone.com's WAP-compatible UP.Link Server, Global Telecom is offering a wide range of wireless content services including mobile banking from Bradesco. Subscribers are able to access the Internet through their mobile phone, send and receive email, trade stocks, check sports scores and utilize a personal calendar. Global Telecom is launching commercial services in conjunction with Motorola Mini StarTac (V-series), StarTac, Timeport, and Talkabout mobile phones. Additional phones are expected to be available shortly.

"The Brazilian market is a key piece in the Latin American puzzle for successful wide-scale WAP deployment," said Tony Miranzadeh, vice president and general manager of Asia Pacific and Latin America for Phone.com. "Building a strong relationship with Global Telecom gives us a decided advantage in competing in the Latin American market. We are positioned to continue our mission of leading the rapid global penetration of WAP-based services and solutions."

Global Telecom, which covers states of Parana and Santa Catarina in southern Brazil, is a consortium developed and supported by DDI, Motorola, Inepar, Nissho Iwai Corporation, and Suzano. Since the beginning of its operation in December 1998, Global Telecom has positioned itself as one of the pioneers in the introduction and provisioning of innovative and intelligent wireless services and solutions in the Brazilian market.

"Our agreement with Phone.com allows us to be one of the first providers of wireless Internet access in Latin America," said Yuji Tsuda, President CEO at Global Telecom. "We now have a major competitive advantage over our Brazilian competitors. In addition, we expect to double our subscriber base this year, and, given that growth potential, we were eager to include wireless Internet access among our range of services. Phone.com, with its numerous carrier deployments worldwide and clear market leadership is the obvious choice as our software provider."


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