[January 26, 2000] In a move designed to enable broad new applications for
mobile location-based services and wireless Internet systems, QUALCOMM Incorporated
today announced that it will acquire SnapTrack of San Jose, Calif., a leader in wireless position location technology. Combining
SnapTrack’s technology with QUALCOMM’s innovative gpsOne technology will accelerate the introduction of powerful
location-enabled mobile phones and other devices utilizing Wireless Assisted GPS™ (Global
Positioning System) technology. The acquisition provides QUALCOMM with an even stronger patent portfolio covering Wireless Assisted GPS. SnapTrack’s patents are necessary for the
commercial viability of any Wireless Assisted GPS system. Under the agreement, SnapTrack
will become a wholly owned subsidiary of QUALCOMM, and will continue its work on position
location technology and meeting its customer commitments. QUALCOMM will pay $1 billion
in stock for the acquisition of SnapTrack. Completion of the agreement, which is subject to
regulatory approval and other customary closing conditions, is expected by mid-March of this
year.
The combined QUALCOMM and SnapTrack position location technology will enable
unprecedented service availability and performance in all terrain, both indoor and outdoor. This
solution will provide the most cost- and power-effective implementation of location technology
for wireless carriers and manufacturers. The solution is targeted for wireless applications
worldwide and will be designed and is patented to operate in existing CDMA, PDC, GSM, TDMA and iDEN networks, and new third-generation CDMA systems. QUALCOMM is incorporating gpsOne technology in its chipset and software solutions for wireless voice and
data products.
"In support of our major focus on wireless Internet access and data transmission, this
acquisition positions QUALCOMM to facilitate existing and new market applications globally
serving all digital wireless platforms," said Dr. Irwin Mark Jacobs, chairman and CEO of
QUALCOMM. "SnapTrack’s impressive technology strengths and patent portfolio will provide
QUALCOMM with increased position location capabilities. Wireless device manufacturers will
benefit from an enhanced product offering for QUALCOMM chipsets and software incorporating
wireless location features, and wireless carriers will be able to offer a host of innovative new
location-based, cost-effective services."
"There is tremendous synergy between SnapTrack and QUALCOMM," said Steve
Poizner, president and CEO of SnapTrack. "We are both committed to developing leading-edge
communications technology solutions for the wireless industry. This agreement is a clear
validation of Wireless Assisted GPS technology and positions QUALCOMM at the
centre of
the mobile location, data and e-commerce applications markets."
The combined technology will enable the design of smart phones, PDAs and pagers that will
help find wireless 9-1-1 callers for emergency purposes, or provide customized location-specific services either directly to the user or via wireless Internet applications and
services. The location technology is air interface independent and functions in any wireless
standard. SnapTrack’s unique Location on Demand™ feature will ensure a caller’s privacy -
putting location information in the hands of the user, not the network. QUALCOMM will provide
a low-cost, robust solution to the Federal Communications Commission’s (FCC) mandate that
wireless carriers provide for the location of wireless phones for 9-1-1 applications.
SnapTrack will become a wholly owned subsidiary of QUALCOMM. SnapTrack’s employees,
including its strong engineering base, will remain in San Jose, Calif. supporting a development
center for wireless location products.
SnapTrack has nearly 50 patents, either issued or pending, that are critical to the efficient, cost-effective deployment of Wireless Assisted GPS. SnapTrack has royalty-bearing licensing
agreements with Denso, DSPC/Intel, Loc8.net/Glenayre, Motorola and Texas Instruments for patents and technology that cover the deployment of assisted GPS-based wireless location
systems, and an agreement with Microsoft to integrate SnapTrack’s solution into the Microsoft
Mobile Explorer smart phone platform.
SnapTrack has focused on integrating GPS and two-way wireless technologies for the past five years. It pioneered the highly accurate client/server assisted GPS technology known as Wireless Assisted GPS that uses the U.S. Government’s GPS satellites to pinpoint wireless
devices to within an average of 5 to 20 meters, including inside buildings where conventional GPS does not operate. Its system lies at the core of NTT DoCoMo’s new "Doco-Navi"
personal navigation system - the first Wireless Assisted GPS-based commercial location
service.
Headquartered in San Jose, Calif., SnapTrack, Inc. is focused on integrating GPS and
two-way wireless technologies. SnapTrack’s patented architecture offers anytime, anywhere,
accurate, high-speed location of a wireless caller, even inside buildings where conventional GPS does not operate. SnapTrack’s backing includes equity investments by Motorola, Texas
Instruments and Benchmark Capital. www.snaptrack.com
