June 18, 1997 in Social Responsibility News

SAMSUNG Electronics Begins to Ship CDMA PCS Handsets to Sprint Spectrum

June 18, 1997, Kumi, Korea: Samsung Electronics Co., Ltd. begins exporting CDMA PCS (code division multiple access personal communication system) handsets to Sprint Spectrum L.P. of America. On June 18, 1997 at Samsung's Kumi production complex, a ceremony was held marking the electronics company's first overseas shipment of CDMA PCS handsets. Sung-deuk Park, Vice-Minister of the Information and Telecommunications Ministry and Hee-Joon Park, President and CEO of Samsung Electronics' Information and Telecommunications Division attended today's celebration.

Samsung Electronics will supply 1.7 million PCS handsets to Sprint Spectrum, the largest PCS provider in the US. These PCS handsets (model: SCH-1011) will be labeled with the co-brand name of "Sprint-Samsung." Samsung invested US$5.6 million to develop this SCH-1011 model that not only combines the advantages of digital cellular handsets, but also uses 1.9GHz, making it suitable for the US's telecommunications environment. In addition, the PCS handset has the capacity to retain 99 telephone numbers and voice-mail, stock information, weather forecasts, etc. can be accessed at the touch of one button.

On September 1996, Samsung Electronics signed a contract with Sprint for the provision of PCS handsets. The US is the world's largest PCS market. By the year 2000, demand is expected to reach 27 million CDMA PCS handsets or the equivalent of US$6 billion.

Samsung Electronics Co., Ltd. a US$19 billion flagship company of the Korean-based Samsung Group, is a world producer of consumer appliances, A/V equipment, computers, telecommunications systems and semiconductors. The company's information and telecommunications division grew 67% in 1996, with a sales of US$3.1 billion. In an effort to improve the company's brand image in the this industry, on May 9, 1997, Samsung Electronics signed on as The Olympic Partner (TOP) in wireless communications fotr the 1998 Nagano Winter and 2000 Sydney Olympic Games.

Sprint Spectrum L.P. is a joint venture of Sprint Corp., Tele-Communications Inc., Cox Communications and Comcast Corporation. The company, founded in 1994 and named in 1996, is currently running services in the Washington DC/Baltimore area and it seeks to provide PCS services to 182.4 million people or 70% of the American population.


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