Wavecom and Sunlink Announce a Strategic Alliance to Accelerate Wireless M2M Development in Asia Pacific Region

Business Wire, July 9, 2007

ISSY-LES-MOULINEAUX, France & HONG KONG -- Regulatory News:

Wavecom to License Open AT([R]) Software and Wireless CPU([R]) Reference Designs to Sunlink

Wavecom SA (Paris:AVM) (NASDAQ:WVCM) (ISIN:FR0000073066) and Sunlink (a Hong Kong-listed company Stock Code: 2336) today announced the creation of Sunlink-Wavecom, a strategic alliance to develop and support wireless machine-to-machine applications based on Wavecom's OpenAT[R] Software suite and Wireless CPU([R]) hardware designs.

A new company, Sunlink-Wavecom (90.5% - 9.5%, respectively) has been formed with an initial investment of $1 million. It will provide support, maintenance and application-design services specifically using Open AT([R]) Software Suite and reference designs from Wavecom. Sunlink-Wavecom will be incorporated in Hong Kong with its operations located in Shen-Zhen, China, and will initially employ a staff of 20 engineers and technical support specialists.

The business's initial focus will be on high-volume applications like fixed wireless, automotive, fleet management, and automatic metering in the Asia Pacific region and expects to expand to other applications and regions over time.

"We are very proud to form this strategic alliance with Sunlink that should help to accelerate the expansion of the market for wireless machine-to-machine applications" commented Dr. Ronald D. Black, CEO of Wavecom. Dr. Andy Wong, Chairman and CEO of Sunlink Holdings International added, "We have been working together with Wavecom for the last year, and have seen the unparalleled value of their technology. This alliance is strategic for both companies and will provide the key technical support required to expand the global market for Open AT([R]) technology, drawing on the design and distribution expertise of our Techlink subsidiary."

Initially, Sunlink's products will be based on Wavecom's Q24 family of Wireless CPUs([R]), and Wireless Microprocessor([R]) technology. They will have full OpenAT([R]) capabilities, and, Wavecom will supply the baseband component.

Philippe Guillemette, Wavecom CTO underscored the importance of this alliance in stating, "This new model, not only allows us to license our technology, but it represents the first step in expanding the reach of our chipset technology in becoming the standard platform for future M2M development."

"Expanding our regional presence and merging the technical skills of Wavecom with the marketing skills of Sunlink through this alliance is an important step to reach in-system applications by drawing on Sunlink's in-depth knowledge of the Chinese market" commented Didier Dutronc, Wavecom Group Vice President and Managing Director of the Asia Pacific Region. He continued "Adding chipset components to our portfolio will increase revenues, enhance our business model, and also provide second source opportunities to a broader customer base. This expanded business model and multi-sourcing option are key steps in establishing standards in the emerging wireless machine-to-machine market." Clive Choi, COO of Sales for Sunlink added, "We believe this exciting new business model will be able to substantially increase Sunlink's sales over the next year, and also dramatically expand the Wavecom architecture."

About Sunlink Holding, Ltd.

Sunlink International Holdings Limited has been listed on the Main Board of the Hong Kong Stock Exchange since 2003. Headquartered in Hong Kong, Sunlink International mainly focuses on the development of automobile communication device for its auto parts & devices business. In addition, Sunlink International also involves in the sales and marketing of semiconductors and power metering solutions business. It has an extensive geographic reach and is supported by an R&D and technical support center in the Shenzhen High-Tech Zone and liaison points in Beijing and Shanghai.

About Wavecom

Wavecom is a worldwide leader in embedded industrial wireless communication solutions for automotive, machine-to-machine and mobile professional applications. Wavecom's solutions include the Open AT[R] software platform encompassing the Wavecom Open AT[R] Operating System, a wide range of Plug-Ins, the Open AT[R] Integrated Development Environment (IDE) along with a market-leading range of Wireless CPUs (Central Processing Units), and an expanding portfolio of services. These complete embedded solutions enable makers of all types of machines to development of a new breed of intelligent wireless applications, without the need of external processors and other ASICs (Application Specific Integrated Circuits) and components.

Founded in 1993 and headquartered in Paris, Wavecom has subsidiaries in Research Triangle Park, NC (USA), (USA), Hong Kong (PRC) and Camberley (UK). Wavecom is publicly traded on Euronext Paris (Eurolist) in France and on the NASDAQ (WVCM) exchange in the U.S.

www.wavecom.com