Compaq and CMG Accelerate Wireless Messaging with End-to End GPRS Multimedia Messaging Solution

CMG's MMSC and Compaq's AlphaServer* Enable Mobile Users to Send Colour Images, Video and Sound Messages Using the iPAQ* Pocket PC

CMG Wireless Data Solutions (LSE: CMG) and Compaq Computer Corporation (NYSE: CPQ) today jointly announced a major step forward in wireless messaging. Continuing a long-time partnership, the two companies unveiled the industry's first end-to-end, GPRS multimedia messaging solution.

Building on success in Short Message Services (or "SMS," a text only service), CMG and Compaq are now offering mobile operators a new solution that enables wireless users with powerful handsets to send and receive messages that include colour images, colour video, and audio. The CMG-Compaq solution seamlessly integrates a GPRS-enabled PDA (personal digital assistant) with a network-based Multimedia Messaging Service Centre (MMSC). It is the industry's first end-to-end solution to be delivered for GPRS networks.

The Multimedia Messaging Service (MMS) builds on the proven business model of SMS, which today accounts for 10-20 percent of some of the leading mobile operators' revenues (CSFB, 3G Mobile, 2001). MMS extends these business models with a richer user experience and increased ease of use, which will likely make it a very popular application for mobile packet networks, GPRS and 3G.

The Arc Group predicts almost five fold mobile messaging growth in the next five years. Reflecting the high growth potential, mobile operators have expressed strong interest in this MMS solution, particularly in Europe and Asia.

The new fully-integrated solution includes CMG's powerful MMSC based on Compaq's reliable and scalable AlphaServer* platform running Tru64* UNIX, and, on the end user side, Compaq's popular iPAQ* Pocket PC with a colour screen and a 200 MHz Intel* processor. The key differentiator for CMG's MMSC is its guaranteed Quality of Service and immediate service response, even at the extreme data traffic peaks that are foreseen for Multimedia Messaging.

The wireless iPAQ Pocket PC is enabled for MMS (which has been standardised by the Third Generation Partnership Program, 3GPP) by CMG's MMS User Agent. Future versions of MMS terminals are expected to also include built-in digital cameras and connectivity to external multimedia devices such as cameras and MP3 players.

Geert Kolthof, Vice President Mobile Internet for CMG Wireless Data Solutions, said, "Compaq and CMG have jointly achieved major successes in the Short Message Service market. Therefore, it was a natural choice for us to also select Compaq as one of the technology partners for Multimedia Messaging, where we aim to take the same leading market position as we have in SMS."

David Bealby, Vice President and General Manager, Compaq's Telecom Division, said, "CMG Wireless Data Solutions has proven that it is a successful innovator and market leader, and Compaq is pleased to be the main partner for this solution." Bealby added, "This multimedia solution illustrates Compaq's core strategy to combine our many technologies, from handheld devices to deep network infrastructure, to help service and equipment providers deliver advanced next generation services."

The end-to-end MMS solution will be marketed globally by the two companies.


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