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December 14, 2000
Microcell and Research In Motion Sign Wholesale Agreement
RIM to Become the First GPRS Service Provider Offering High-speed Wireless Data Services on Microcell's Leading Network
Toronto and Waterloo, ON - Microcell Connexions Inc. and Research In Motion Limited (RIM) (TSE: RIM; Nasdaq: RIMM) announced today the signing of a wholesale agreement whereby RIM will purchase airtime and services from Microcell Connexions in order to offer high-speed wireless data services to Canadians. RIM's "Always On, Always Connected™" services will be based on General Packet Radio Service (GPRS) technology and operate on Microcell's GSM-based national network.
"We are thrilled to welcome Research In Motion to the network of choice," noted Mr. Rajiv Pancholy, President and Chief Operating Officer, Microcell Connexions Inc. "RIM has already established itself as a premier provider of wireless data products and solutions through its revolutionary BlackBerry wireless email solution. This agreement will allow RIM to offer Canadians a powerful service to access the Internet, corporate computers, and other sources of data - when and where they need it. Microcell Connexions' open network means RIM will be able to manage all aspects of its customer relationship. We are delighted that RIM continues to lead the market in data accessibility and look forward to working with them to develop their services."
"Microcell is embracing the next generation of wireless technology and helping Canada stay on the forefront of mobile communications," said Jim Balsillie, Chairman and Co-CEO, Research In Motion. "GPRS is an international standard that uses packet technology to help bridge the Internet and intranets with GSM networks. As a pioneer and world-leading supplier of wireless products and services based on packet technology, RIM is well poised to develop leading GPRS-based solutions. We have been working closely with Microcell to conduct GPRS technical trials and we are pleased with our joint progress. RIM is committed to maintaining its leadership in next-generation wireless technologies and we look forward to working with Microcell to deliver end-to-end solutions for our customers in 2001."
GPRS is a natural evolution of Microcell's network-Canada's only operating network based on Global System for Mobile communications (GSM) technology. Microcell Connexions made a strategic choice to use GSM for its digital wireless network, which was launched in 1996. One of the benefits of that choice is that GPRS is an overlay technology for GSM, allowing Microcell to quickly and economically deploy digital packet data capabilities across its network. To prepare for GPRS, Microcell has been aggressively expanding its network to highways and communities from coast-to-coast. At the end of November, Microcell announced the first end-to-end GPRS call over its network. "While other companies have talked about always-connected data capabilities, we've started delivery and will introduce Canadians to the benefits of GPRS in 2001," Mr. Pancholy concluded.
About GPRS
GPRS is an exciting new wireless technology standard that supports fast point-to-point communication through devices that enable an "always on" Internet connection. An over-the-air system for transmitting data on GSM networks, GPRS technology converts wireless data into standard Internet packets, enabling interoperability between the Internet and the GSM network. It is expected to enable data speeds up to 115 kbps-up to ten times faster than current GSM networks, and up to four times faster than wireline local-loop telephone networks.
The GPRS method of transporting data optimizes network capacity by using bandwidth only when it is needed. In addition, several data transmissions from different users can share the same channel. The end result is next-generation technology that will allow end-users to cost-effectively remain connected constantly, and to send and receive data much faster.
About Research In Motion
Research In Motion Limited is a leading designer, manufacturer and marketer of innovative wireless solutions for the mobile communications market. Through development and integration of hardware, software and services, RIM provides solutions for seamless access to time-sensitive information including email, messaging, Internet and intranet-based applications. RIM technology also enables a broad array of third party developers and manufacturers around the world to enhance their products and services with wireless connectivity. RIM's portfolio of award-winning products includes the RIM Wireless Handheld™ product line, the BlackBerry™ wireless email solution, wireless personal computer card adapters, embedded radio-modems and software development tools. Founded in 1984 and based in Waterloo, Ontario RIM operates offices in Canada, the United States and England. RIM is listed on the Nasdaq Stock Market (Nasdaq: RIMM) and the Toronto Stock Exchange (TSE: RIM). For more information, visit www.rim.net. Investors may contact investor_relations@rim.net. Customers may contact info@rim.net.
About Microcell Connexions
Microcell Connexions is a dynamic access provider in Canada, building a Personal Communications Services (PCS) network based on the Global System for Mobile communications (GSM) protocol and providing innovative business solutions in wireless voice and data communications.
Microcell Connexions is the only Canadian wireless network to exclusively offer unbundled and unbranded airtime and wireless services to corporations and entrepreneurs who then brand and market these offerings as their own. Microcell Connexions also partners with third-party developers and manufacturers to enhance their wireless service and product offerings with innovative voice and data applications. For more information, visit www.microcellcnx.com.
A subsidiary of Microcell Telecommunications Inc., Microcell Connexions was awarded a 30 MHz licence in December 1995 by Industry Canada to operate a cross-Canada PCS network at 1.9 GHz. Microcell Telecommunications Inc. (TSE: MTI.B; Nasdaq: MICT) has been a public company since October 1997, and is a member of the TSE 300, TSE 200, and S&P/TSE Canadian Mid Cap indices. The Company employs more than 2,000 people across Canada.
Source:
| Kristen Rector | Opsis Communications & Marketing Inc. | 416-368-8998 | krector@opsis.ca |
Research In Motion, RIM, RIM Wireless Handheld, BlackBerry and 'Always On, Always Connected' are trademarks of Research In Motion Limited. Research In Motion, RIM and 'Always On, Always Connected' are registered with the U.S. Patent and Trademark Office and may be pending or registered in other countries. All other brands, products and company names mentioned herein may be trademarks or registered trademarks of their respective holders.
Forward-looking statements in this news release are made pursuant to the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, risks relating to possible product defects and product liability, risks related to international sales and potential foreign currency exchange fluctuations, risks related to the year 2000 issue, continued acceptance of RIM's products, increased levels of competition, technological changes, dependence on intellectual property rights and other risks detailed from time to time in RIM's periodic reports filed with the United States Securities and Exchange Commission and other regulatory authorities.