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3G Solutions for the Chinese Market
30th April, 2002

Eastern Communications Co., Ltd., Starent Networks Corporation and TELOS Technology, Inc. announced today an agreement aiming at developing an All-IP core network solution for network operators in the Peoples Republic of China.

The solutions will utilize technology and products from each of these leading companies: Eastcom's network and radio infrastructure, Starent Network's packet gateway infrastructure and TELOS' wireless softswitch products and technologies. The integrated network solution will enable operators to offer high-quality voice and enhanced data services over an efficient IP data infrastructure, as well as provide a very cost-efficient migration to 3G network technologies.
The solution will be marketed through Eastcom's extensive China sales force and strong customer relationships.

"This agreement plays an important role in our next-generation network strategy," said Dr. Tao Xiongqiang, vice president of technology, Eastcom. "The comprehensive technology integration will ensure the delivery of a robust solution, allowing us to build and market a comprehensive mobile network solution that will capitalize on the extensive service capabilities of packet-based communications." China currently has over 140 million wireless subscribers, which is more than any other country. Penetration is currently at 11% and is expected to surpass 16% by 2004.

"The rapid increase of subscribers in China requires wireless service providers to deploy 3G network solutions to handle increased traffic and escalating customer expectations," said Ashraf M. Dahod, president of Starent Networks. "Wireless subscribers are looking for simple interaction with a mobile device that offers compelling voice and data services. By partnering with TELOS and Eastcom, Starent Networks can leverage its deep packet network expertise and accelerates the deployment of next generation networks and services."

"The combination of our three companies creates a very strong technology base to deliver a true All-IP solution," said Jack Mar, chief executive officer of TELOS Technology. "Working together to integrate our technologies, address unique market concerns and develop innovative services, will allow us to quickly deliver an extremely valuable IP-based network solution with a compelling migration path to the future."

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