Philips Semiconductors' Next Generation GSM/GPRS System Solution Enables `Roam Anywhere' Mobile Handsets

New Technology Offers Higher Integration At Reduced Cost

SAN JOSE, Calif.--(BUSINESS WIRE)--Feb. 18, 2002--Philips Semiconductors, a division of Royal Philips Electronics (NYSE: PHG - news), (AEX:PHI), today launched its next generation GPRS system solution designed to enable the development of low risk, low cost, highly integrated 2.5G GSM/GPRS cellular handsets anywhere in the world.

The new solution will provide manufacturers with triple-band capabilities, supporting GSM at 900/1800/1900MHz including GPRS Class 10 capabilities. The addition of the 1900MHz band, dedicated to the US market, will give mobile phone users the capability to make and answer calls anywhere in the world. The solution also comes with dedicated worldwide regional support for Full Type Approval (FTA) and industrialization phases.

"The GPRS system solution represents a clear breakthrough in system solution technology," said Alain Quiniou, system solutions marketing manager at Philips Semiconductors. "The triple-band GPRS complete system solution was successfully tested with our major equipment suppliers and these results underline the high maturity level of the overall system. This technology illustrates how committed we are to providing total `roam anywhere' system solutions for the 2.5G cellular handset market."

The GPRS system solution is based on Philips Semiconductors' proven second generation System Solution platform, which minimizes time-to-market and significantly reduces design risk for handset manufacturers. The solution contains GPRS Class 10 technology, with fully validated, customer approved hardware and software, and is capable of providing up to 250 hours of stand by time and more than three hours of GPRS connection time.

The solution provides handset manufacturers with "easy to take over" state-of-the-art platforms at reduced cost and offers increased optimization, compared to previous generations, due to higher RF front-end integration. Although Philips Semiconductors has developed a tri-band solution, the number of components has decreased by ten percent and the bill of manufacturing (BOM) by between five and ten percent. The reference board has a state-of-the-art form factor, 65x35mm only. Additional optional features can include FM radio, Bluetooth(TM), color LCD or AMR (adaptive multi rate).

Prototyping versions are available today. The baseband part is already in production, the RF part will be available for mass production in the second half of 2002. The system solution can offer single or dual-band options to reduce production costs.

About Philips Semiconductors

Philips Semiconductors, a top ten semiconductor supplier with revenues of US $4.4 billion in 2001, is a world leader in silicon systems and standard products for consumer, communications, automotive and computing products. The organization designs, develops and manufactures silicon solutions based on its innovative Nexperia(TM) architectures to create living technology for its customers creating products, service providers using the products, and consumers enjoying the resulting products and services. For more information: www.semiconductors.philips.com.


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