Industry's First CDMA2000 1xEV-DO Network Launched in Praha

August 3, 2004

Eurotel Praha spol. s r.o., the largest provider of wireless voice and data services in the Czech Republic, and Nortel Networks* [NYSE/TSX: NT] have launched the industry’s first CDMA2000 1xEV-DO network operating in the 450 MHz radio spectrum.

The network, which was deployed across the Czech Republic in only four months, now offers advanced data services for broadband Internet access under the umbrella of “Eurotel Data Express.” Pricing plans have been announced targeting residential and selected business customers.

“Eurotel and Nortel Networks are bringing a new generation of faster, easier to use data services to consumers and business across the Czech Republic,” said Michal Heřman, acting chief executive officer and managing director, Eurotel Praha, spol. s r.o. “Nortel Networks has deployed this network with amazing speed, and has quickly positioned us to offer highly-competitive broadband data services that can generate new revenues.”

Nortel Networks CDMA 450 equipment creates networking efficiencies that will help Eurotel to drive reduced capital and operating costs. The infrastructure was deployed on top of Eurotel’s existing hardware to maximize the operator’s existing investment in 450 MHz spectrum and legacy network equipment.

“Our nine-year history in CDMA gives us an advantage in deploying quickly and efficiently,” said Steve Searles, vice president, marketing, CDMA/TDMA, Nortel Networks. “As we are demonstrating with leading operators like Eurotel, our unique combination of broadband access products, IP (Internet Protocol) core experience, and network services is making Nortel Networks a preferred ally in deploying advanced wireless data networks globally.”

CDMA 450 is a standard for use in countries transitioning to digital wireless service from Nordic Mobile Telephone (NMT) 450 analogue service, and in countries advocating universal access for voice and data. It can also eliminate the need for operators to purchase additional radio spectrum beyond their initial 450 investment.

Wireless infrastructure equipment deployed for Eurotel includes Data-Only Modules (DOM) installed with Nortel Networks CDMA Metro Cell radio base stations (BTS), CDMA Base Station Controllers (BSCs), and Packet Data Serving Node (PDSN) products. The Nortel Networks 450 solution can significantly extend CDMA cell radius. Nortel Networks also provided engineering, installation, maintenance and network optimization services.

Nortel Networks has more than nine years experience in deploying and tuning CDMA networks for many of the world’s leading operators. Nortel Networks CDMA 450 solution leverages its commercial CDMA expertise and product portfolio. It is designed to use dedicated, stand-alone radios, which can significantly reduce installation and operating costs. The CDMA 450 solution also provides a flexible and cost-effective means of building on existing infrastructure investment to expand voice and data services that can cover both rural and urban areas.

Nortel Networks has designed, installed and launched more than 300 wireless networks in over 50 countries across the globe. Nortel Networks was the industry’s first supplier with wireless networks operating in all advanced radio technologies (GSM/GPRS/EDGE, CDMA2000 1X and 1xEV-DO, UMTS and WLAN), and is the only end-to-end provider of all next generation wireless solutions.