| General Partner, Globalstar L.P. 3200 Zanker Road, P.O. Box 640670 San Jose, CA 95164 USA Tel: +1 408-473-7145 Fax: +1 408-473-5548 Email: john.cunningham@globalstar.loral.com
GLOBALSTAR ANNOUNCES THIRD MANUFACTURER OF DUAL-MODE (CELLULAR-SATELLITE) GLOBALSTAR HANDSETSSAN DIEGO, Calif. -- Jan. 27, 1997 -- Globalstar L.P. (NASDAQ:GSTRF) has announced that QUALCOMM Incorporated (NASDAQ:QCOM) and TELITAL S.r.l., have signed a worldwide multimillion-dollar royalty bearing handset license agreement whereby TELITAL will use QUALCOMM's Code Division Multiple Access (CDMA) technology to design, develop, manufacture and sell portable and fixed handsets for use within the Globalstar satellite communications system. QUALCOMM and TELITAL have also signed a multimillion-dollar development subcontract for TELITAL to design and manufacture pre-production Globalstar/GSM dual-mode handsets. These Globalstar handsets will utilize QUALCOMM's CDMA air interface while supporting Global System for Mobile Communications (GSM) features over the Globalstar satellite constellation. In January 1996, QUALCOMM signed similar agreements with Orbitel Mobile Communications Ltd., a wholly-owned subsidiary of L M Ericsson of Sweden, to design and manufacture pre-production Globalstar/GSM dual-mode handsets. QUALCOMM is also manufacturing a Globalstar tri-mode handset that will be able to switch automatically from terrestrial cellular analog (AMPS) or digital cellular (CDMA) networks to the Globalstar satellite network, thus allowing users to make or receive calls outside of cellular coverage areas. "QUALCOMM is very pleased to license our CDMA technology to another European manufacturer," said Jerry Beckwith, president of QUALCOMM's Communications System Division. "We are relying on TELITAL's GSM expertise and experience in providing engineering services, development and manufacturing to incorporate QUALCOMM's CDMA technology with TELITAL's GSM technology into a Globalstar/GSM dual-mode handset." "TELITAL is proud to have been selected over major competition for the development of the Globalstar/GSM dual-mode handset," said Massimo Zanzi, president of TELITAL. "This is a remarkable opportunity to participate in the development of the Globalstar system. We see this as the beginning of a close collaboration with QUALCOMM, as well as an opportunity to license their CDMA technology." With headquarters in Trieste, Italy, TELITAL is a private company working in the telecommunications field. The company started in 1986, and is now a leader in the Italian telecommunications market. TELITAL has experience in the design, development and production of telephony products for European and International markets. With headquarters in San Diego, California, QUALCOMM develops, manufactures, markets, licenses and operates advanced communications systems and products based on its proprietary digital wireless technologies. The $2.5 billion Globalstar system, comprised of 48 low-Earth-orbiting satellites and a global network of ground stations, will allow people in areas that lack or are currently underserved by existing wireline and cellular telecommunications systems, to make or receive calls from virtually anywhere on Earth. Globalstar will also provide data transmission, paging, facsimile and position location services to global travelers through dual-mode (cellular- satellite) handsets. Based in San Jose, California, Globalstar is a limited partnership led by Loral Space & Communications Ltd, of New York. Along with co-founder QUALCOMM Incorporated, the partnership includes ten of the world's leading telecommunications service providers and equipment manufacturers. NOTE: Globalstar is a trademark of Loral Qualcomm
Satellite Services Incorporated.
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