Transcept Forges Strategic Alliance With LG Information & Communications to Provide Fully Integrated Wireless Solutions

Business Wire, April 17, 2000

Business/Technology Editors

MANCHESTER, N.H.--(BUSINESS WIRE)--April 17, 2000

- Infrastructure Suppliers Team to Deliver

Optimized Offering for Wireless Operators -

Transcept Inc., a developer of innovative and cost-effective RF distribution solutions for wireless telecommunications, today announced a strategic partnership with LG Information & Communications, Ltd. (LGIC), South Korea's leading developer of communications systems. Under terms of the agreement, Transcept and LGIC have agreed to jointly market Transcept/LGIC solutions for CDMA wireless operators, while also pursuing cooperative business development opportunities.

The two companies have successfully concluded first-phase product interoperability testing and certification of Transcept's TransCell(TM) line of alternative RF distribution equipment and LGIC STAREX base stations, newly modified specifically for the Transcept/LGIC configuration. This has created a fully manageable and interoperable solution for wireless communications.

According to the Companies, the modifications to LGIC's equipment can result in a dramatic reduction in cost per base station. Transcept's cost effective distributed architecture further extends the financial benefit of the Transcept/LGIC solution.

"LGIC was impressed with Transcept's innovative architecture and vision for the future of this industry, and recognized an opportunity to enhance our market penetration by working cooperatively with Transcept," said Kyeong Woo Lee, Vice President, Marketing & Engineering, LGIC. "Now, by combining the strengths of Transcept's distributed architecture with our own leading base station equipment, we're enabling one-stop-shopping for wireless network solutions while offering significant cost savings to the network operator."

With the completion of extensive testing, Transcept and LGIC can now guarantee interoperability with each other's equipment. Looking forward, the two companies have also agreed to work together to produce optimized wireless network equipment configurations designed to support advanced standards for both voice and data applications.

"LGIC's demonstrated commitment to providing high-quality, low-cost solutions to the challenges of building and operating a wireless network dovetails nicely with Transcept's strategic vision, which is why we were eager to undertake this important partnership," said Chris Crane, Transcept's Vice President of Business Development. "And this agreement has significant implications for wireless operators who desire cost effective, seamless wireless voice and data networks."

Transcept's TransCell family of innovative wireless RF distribution solutions currently supports multiple bands and protocols for wireless service providers. LGIC's STAREX-800 and 1900 base stations are renowned for high-quality and high-capacity functionality, and are one of the most widely-used base stations in the world.

About Transcept: Based in Manchester, New Hampshire, Transcept is a privately held designer and manufacturer of innovative communications equipment for commercial wireless networks. Transcept offers cost-effective solutions that enable wireless service providers to increase call capacity and RF coverage within their networks. For more information about Transcept, visit www.Transcept.com.

About LGIC: LG Information & Communications, Inc., is an integrated information/communication company, which provides the customer with switching systems, transmission equipment, mobile communication systems and terminal equipment. For more information about LGIC, visit www.lgic.co.kr.