KYOCERA Wireless Corp. and Marvell Initiate Strategic Alliance to Enable WLAN/Cellular Convergence
SAN DIEGO -- (January 31, 2006) -- Kyocera Wireless Corp., a leading global manufacturer of CDMA wireless handsets and accessories, today announced a strategic alliance with Marvell, the leader in development of storage, communications, and consumer silicon solutions, to incorporate Marvell's WLAN technology and chipsets into a dual-mode Wi-Fi/CDMA handset platform.
Fixed-mobile convergence is attracting growing interest from wireless service providers, and especially mobile virtual network operators (MVNOs). By planning a dual-mode commercial handset based on this platform, Kyocera Wireless aligns itself to address an emerging market opportunity. According to several leading trade analyst firms, the market for WLAN-enabled cellular handsets is positioned for exponential growth, with forecasts ranging as high as 125 million dual-mode devices being shipped in 2008. This would represent approximately 15 percent of the global market for mobile phones.
"The footprint and adoption of WLAN networks is increasing exponentially and we have carrier customers who are viewing this technology as a complement to their capacity-constrained cellular networks," said Tom Zeran, Vice President of Product Management at Kyocera Wireless Corp. "Adding the feature capabilities of high-speed WLAN while reducing demand on precious spectrum is certainly an attractive proposition. We believe Kyocera is ahead of the pack when it comes to the convergence of WLAN and CDMA, and this alliance with Marvell only strengthens that position."
The vision for dual-mode WLAN/cellular devices is simple -- complement traditional voice and data services on cellular networks by offering better coverage and enhanced multimedia services when in range of WLAN networks and their data rates of up to 54 Mbps.
"The convergence of WLAN technology with traditional networks is changing the way consumers use their cellphones," said Dr. Paramesh Gopi, Vice President and General Manager of the Embedded and Emerging Business Unit, Communications and Consumer Business Group at Marvell. "The Marvell strategy is to focus on highly integrated, low-power devices which take up a minimal amount of design real estate allowing us to create solutions which deliver outstanding consumer experiences. By working with Kyocera, Marvell will be able to drive that strategy and vision deeper into the cellular device market."
Momentum behind WLAN/CDMA convergence is growing. In December QUALCOMM, the pioneer of CDMA technology, publicly announced it had joined the Wi-Fi Alliance in an effort to ensure Wi-Fi compatibility with its future MSM chipsets. The company also announced support for companion WLAN chipsets that work with its own MSM chipsets. Kyocera Wireless is a member of MobileIgnite, an independent industry organization founded in early 2005 to drive broader Fixed Mobile Convergence (FMC) adoption.
About Kyocera Wireless Corp.
Kyocera Wireless Corp. is a leading supplier of innovative, feature-rich CDMA wireless devices and accessories for customers worldwide. Kyocera Wireless maintains an operating belief in the genius of simplicity and strives to make the wireless experience as simple and intuitive as humanly possible. The company is a wholly owned subsidiary of Kyocera International Inc., which acquired QUALCOMM Incorporated's CDMA consumer wireless phone business in February 2000. Based in San Diego, the company is ISO-14001 and ISO-9001 certified and has won city, state and federal awards for its environmentally friendly manufacturing and recycling practices. For more information, please visit www.kyocera-wireless.com.
Kyocera Corporation (NYSE: KYO), the parent and global headquarters of the Kyocera Group, was founded in 1959 as a producer of advanced ceramics. By combining these engineered materials with metals and plastics, and integrating them with other technologies, Kyocera has become a leading supplier of telecommunications equipment, semiconductor packages, electronic components, cameras, laser printers, copiers, solar energy systems and industrial ceramics. During the year ended March 31, 2005, Kyocera Corporation's consolidated net sales totaled approximately US$11 billion (JP¥ 1,180,655 million) with net income of approximately US$429 million (JP¥ 45,908 million).
Marvell (NASDAQ: MRVL) is the leader in storage, communications and consumer silicon solutions. The Company's diverse product portfolio includes switching, transceiver, communications controller, wireless, and storage solutions that power the entire communications infrastructure, including enterprise, metro, home, and storage networking. As used in this release, the terms "Company" and "Marvell" refer to Marvell Technology Group Ltd. and its subsidiaries, including Marvell Semiconductor, Inc. (MSI), Marvell Asia Pte Ltd (MAPL), Marvell Japan K.K., Marvell Taiwan Ltd., Marvell International Ltd. (MIL), Marvell U.K. Limited, Marvell Semiconductor Israel Ltd. (MSIL), RADLAN Computer Communications Ltd., and SysKonnect GmbH. MSI is headquartered in Santa Clara, Calif., and designs, develops and markets products on behalf of MIL and MAPL. MSI may be contacted at (408) 222-2500 or at www.marvell.com.
Note: Forward-Looking Statements
Certain of the statements made by Kyocera in this document are forward-looking statements (within the meaning of Section 21E of the U.S. Securities and Exchange Act of 1934), which are based on our current assumptions and beliefs in light of the information currently available to us. These forward-looking statements involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors include, but are not limited to: general economic conditions in our markets, which are primarily North America, Latin America, Australia and Asia; changes in exchange rates, particularly between the yen and the U.S. dollar; our ability to launch innovative products and otherwise meet the advancing technical requirements of our customers, particularly in the highly competitive markets for wireless devices; and the extent and pace of future growth or contraction in information technology-related markets around the world; fluctuations in the value of securities and other assets held by us and changes in accounting principles; business performance of other companies with which we maintain business alliances or to whom we source development or manufacturing work; laws and regulations relating to the taxation, and to manufacturing and trade; events that may impact negatively on our markets or supply chain, including terrorist acts, outbreaks of diseases, political issues, geopolitical disputes and the occurrence of natural disasters, such as earthquakes, in locations where our manufacturing and other key business facilities are located, including in particular China. Such risks, uncertainties and other factors may cause our actual results, performance, achievements, timetables or financial position to be materially different from any future results, performance, achievements, timetables or financial position expressed or implied by these forward-looking statements. We undertake no obligation to publicly update any forward-looking statements included in this document.
© 2006 Kyocera Wireless Corp. All rights reserved. Kyocera is a registered trademark of Kyocera Corporation. All other marks are properties of their respective owners.