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May 19, 1998 in Social Responsibility News

SAMSUNG Electronics Obtains Standard Certification for Mobile Communications Switching System in Chi

SEOUL, Korea - May, 19, 1998 - Samsung Electronics Co., Ltd., acquired formal certification from China for a mobile telecommunications switching system for the first time in the world. This will help place SEC on an equal footing with other major competitors in the Chinese telecommunications market.

With the certification for the wireless network connection standard in mobile telecommunications switching systems, SEC becomes the first foreign company which has obtained formal recognition from the Chinese Ministry of Post as a supplier of the switching system.

The certification was awarded on the No. 7 standard, which transmits more data at a faster speed in two ways than any other international telecommunications standard.

Up until now, there have been several telecommunications equipment manufacturers, including SEC, Motorola, and Lucent Technology, which have succeeded in landing certification on wired telecommunications switching systems. However, in the wireless telecommunications sector, SEC is the first company which successfully passed the stringent certification procedure of China.

The certification will help SEC to push forward more smoothly its pilot CDMA cellular phone service in Shanghai and Tianjin and to launch a full-fledged commercial service scheduled for later this year. It will also give a strategic advantage to SEC in the bidding on CDMA commercial service providers in the rest of China, including Greatwall and Uni Com.

The Chinese decision to grant certification to SEC is interpreted as meaning that China acknowledges SEC's excellency in CDMA technologies, which SEC has continued to demonstrate by being selected as a trial service provider for Shanghai's CDMA project, the largest project in China and providing pilot CDMA phone services in Shanghai and Tianjin.

SEC developed the switching system (Model: SDX-MSC) in 1996, and the system is capable of handling 350,000 lines simultaneously. This system will showcase Kortea's technological advances in the telecommunications sector, along with SDX-RB, a digital switching system which was successfully introduced into the Chinese market in 1997.

The Chinese government has been issuing separate certifications on the public network connection standards for each wired and wireless communications service. Following SEC, other foreign manufacturers are also preparing for certification procedures in relation to wireless communications services.

The companies which fail to receive certification on the No. 7 standard for wired and wireless switches are likely to have great difficulties in the future bidding in the Chinese telecommunications market.

In Samsung Electronics Co., Ltd., there are three main business units:
. Multimedia & Home Appliances
. Semiconductors
. Information & Telecommunications.

Samsung Electronics Co., Ltd., a US $13 billion (1997) flagship company of Korean-based the Samsung Group, is a world leader in electronics, with operations in more than 60 countries and 85,000 employees Worldwide.

Jenny Chung
Corporate Communications
Samsung Electronics Co., Ltd.
Tel. (82-2-727-7692 / 7823)
Email: jhnee@samsung.co.kr

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