Iusacell Selects TCS for Hosted Location-Based Services in Mexico City

    Business Editors/High-Tech Editors

    ANNAPOLIS, Md.--(BUSINESS WIRE)--Feb. 9, 2005--TeleCommunication Systems (TCS) (NASDAQ:TSYS), a global leader in precise location and wireless data technology, today announced that Iusacell has selected TCS for its Hosted Location-Based Services (LBS) in the Mexico City region. Iusacell is among the first carriers in North America to provide commercial applications using precise location technology to its subscribers.
    TCS' highly accurate service can deliver handset location fixes within 20 meters, in as quickly as 10 seconds, enhancing the overall user experience for location applications. TCS' solution enables Iusacell to offer a range of in-demand location services billed to the user on a monthly basis.
    "Iusacell is pleased to be one of the first wireless carriers in North America to offer valuable location-based services to our subscribers. Mobility is an essential part of everyday life and the location accuracy this service provides to our subscribers is not only desired, it is essential to families as well as businesses," said Eduardo Kuri, Chief Technology Officer for Iusacell.
    TCS' hosted LBS service provides a complete end-to-end Assisted Global Positioning System (A-GPS) solution which can be deployed rapidly and inexpensively, to address the growing consumer and enterprise market demand for proven, precise location-based services. It is based on TCS' proven, award-winning Xypoint(R) Location Platform (XLP) supporting both Internet Protocol (IP)-based user plane and call-based control plane location access methods in a single platform. TCS' Hosted Location-Based Services are managed through its TL-9000 certified carrier-grade Network Operations Center (NOC).
    Robert Dawson, Senior Vice President of Service Bureau Operations for TCS, stated, "Hosting location-based services for Iusacell's subscriber base, in and around Mexico City, brings a level of location service that has not previously been achieved for wireless subscribers in the region. Our proven location service offerings continue to expand and provide wireless carriers on a global scale with flexible options to reduce barriers to entry for deployment of state-of-the-art location technology today. Now, every carrier can take advantage of these new revenue producing applications while enhancing subscriber safety and security."

    ABOUT IUSACELL

    Grupo Iusacell, S.A. de C.V. (Iusacell, NYSE and BMV:CEL) is a wireless cellular and PCS service provider in Mexico encompassing a total of approximately 92 million POPs, representing approximately 90% of the country's total population.
    Independent of the negotiations towards the restructuring of its debt, Iusacell reinforces its commitment with customers, employees and suppliers and guarantees the highest quality standards in its daily operations offering more and better voice communication and data services through state-of-the-art technology, such as its new 3G network, throughout all of the regions in which it operate.

    ABOUT TELECOMMUNICATION SYSTEMS, INC.

    TeleCommunication Systems, Inc. (TCS) (NASDAQ:TSYS) is a leading provider of mission critical wireless data solutions to carriers, enterprise and government customers. TCS' wireless data offerings include location-based Enhanced 9-1-1 services, and messaging and location service infrastructure for wireless operators, real-time market data and alerts to financial institutions, mobile asset management and mobile office solutions for enterprises, and encrypted satellite communications to government customers. For more information visit www.telecomsys.com.
    The Americas continue to launch precise location offerings with TCS' comprehensive end-to-end solution. In November of last year, TCS launched its precise Hosted Location-Based Service with the largest wireless carrier in South America. The global geographic regions served by TCS' Hosted LBS offerings include North America, Europe, Africa, the Middle East, the Caribbean, and Latin America.

    This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. These statements are based upon TCS' current expectations and assumptions that are subject to a number of risks and uncertainties that would cause actual results to differ materially from those anticipated.
    The actual results realized by the Company could differ materially from the statements made herein, depending in particular upon the risks and uncertainties described in the Company's filings with the Securities and Exchange Commission (SEC). These include without limitation risks and uncertainties relating to the Company's financial results and the ability of the Company to (i) reach and sustain profitability as early as anticipated, (ii) continue to rely on its customers and other third parties to provide additional products and services that create a demand its products and services, (iii) conduct its business in foreign countries, (iv) adapt and integrate new technologies into its products, (v) expand its business offerings in the new wireless data industry, (vi) develop software without any errors or defects, (vii) protect its intellectual property rights, and (viii) implement its sales and marketing strategy.
    Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to update or revise the information in this press release, whether as a result of new information, future events or circumstances, or otherwise.

--30--JM/ny*

CONTACT: TeleCommunication Systems Rita Thompson, 410-295-1865 thompsonr@telecomsys.com

KEYWORD: MARYLAND INDUSTRY KEYWORD: TELECOMMUNICATIONS NETWORKING MARKETING AGREEMENTS SOURCE: TeleCommunication Systems and Grupo Iusacell, S.A. de C.V.

Copyright Business Wire 2005