T-Mobile Germany Enhances Security and Services with Nortel Wireless S

    Business Editors/High-Tech Writers/Tradeshow Writers
    3GSM World Congress 2005

    FRANKFURT, Germany--(BUSINESS WIRE)--Feb. 15, 2005--Mobile communications provider T-Mobile International will expand its deployment of wireless core network solutions from Nortel (NYSE:NT)(TSX:NT) for T-Mobile Germany with 'content aware' capabilities designed to help generate new revenues through highly personalized billing for content-based data services. These solutions are also designed to simplify management of network security for lower operating costs.
    Under an agreement announced today, T-Mobile Germany will deploy Nortel's intelligent packet core solution, which provides flexible billing options for contract and pre-paid subscribers based on content accessed, time spent downloading, or volume of data downloaded. This is the second expansion of billing features for personalized mobile data services by T-Mobile International within its European networks. Planned deployment of content-based billing for T-Mobile UK was announced in July 2004.
    In addition to enabling content-based billing, the Nortel solution will greatly simplify network design and help drive lower operating costs, reducing the need for a complicated mix of routers, load balancers, firewalls and switches external to the GGSN.
    "The T-Mobile Germany deployment demonstrates that Nortel is working very closely with its customers to bring innovation to the wireless industry through next generation subscriber data services," said James Sapp, director, wireless product management and marketing, Nortel. "Our ability to help our customers lower their operating costs while reducing time-to-market of new subscriber services brings value to both the operator and their subscribers."
    "The close relationship we have with T-Mobile is allowing Nortel to demonstrate the power of our packet core solutions and our expertise in wireless data networking," said Gerhard Hain, T-Mobile International account director, Nortel.
    The packet core network agreement announced today is incremental to previous GPRS and UMTS core contract awards by T-Mobile International to Nortel. Nortel has been a supplier of GPRS and third generation (3G) wireless networking gear for T-Mobile International's Pan-European network since 2002, and currently supplies 3G core networking equipment in Germany, the United Kingdom, Czech Republic, The Netherlands and Austria.

    About T-Mobile Germany

    T-Mobile Germany is part of T-Mobile International, one of the world's leading companies in mobile communications. By Q3 of 2004, more than 109 million people were using the mobile communications services provided by companies in which T-Mobile or Deutsche Telekom have a majority or minority stake. And all that over a common technology platform based on GSM, the world's most successful digital wireless standard. This also makes T-Mobile the only mobile communications provider with a seamless transatlantic service.
    Deutsche Telekom established T-Mobile on 1 July 1993. With about 9,000 people on the payroll, the enterprise operates in one of Germany's most dynamic growth markets, serving over 27,5 million subscribers in the country by the end of the third Quarter of 2004. As a result, T-Mobile is now Germany's biggest mobile communications provider and the market leader in terms of customers.
    For more information about T-Mobile Germany, please visit www.t-mobile.de.

    About Nortel

    Nortel is a recognized leader in delivering communications capabilities that enhance the human experience, ignite and power global commerce, and secure and protect the world's most critical information. Serving both service provider and enterprise customers, Nortel delivers innovative technology solutions encompassing end-to-end broadband, Voice over IP, multimedia services and applications, and wireless broadband designed to help people solve the world's greatest challenges. Nortel does business in more than 150 countries. For more information, visit Nortel on the Web at www.nortel.com. For the latest Nortel news, visit www.nortel.com/news.

    Certain information included in this press release is forward-looking and is subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events.
    Factors which could cause results or events to differ from current expectations include, among other things: the outcome of regulatory and criminal investigations and civil litigation actions related to Nortel's restatements and the impact any resulting legal judgments, settlements, penalties and expenses could have on Nortel's results of operations, financial condition and liquidity; the findings of Nortel's independent review and implementation of recommended remedial measures; the outcome of the independent review with respect to revenues for specific identified transactions, which review will have a particular emphasis on the underlying conduct that led to the initial recognition of these revenues; the restatement or revisions of Nortel's previously announced or filed financial results and resulting negative publicity; the existence of material weaknesses in Nortel's internal controls over financial reporting; the impact of Nortel's and NNL's failure to timely file their financial statements and related periodic reports, including breach of its support facility and public debt obligations and Nortel's inability to access its shelf registration statement filed with the United States Securities and Exchange Commission ("SEC"); ongoing SEC reviews, which may result in changes to our public filings; the potential delisting or suspension of Nortel's and NNL's publicly traded securities; the impact of management changes, including the termination for cause of Nortel's former CEO, CFO and Controller in August 2004; the sufficiency of Nortel's restructuring activities, including the work plan announced on August 19, 2004 as updated on September 30, 2004, including the potential for higher actual costs to be incurred in connection with restructuring actions compared to the estimated costs of such actions;
    cautious or reduced spending by Nortel's customers; fluctuations in Nortel's operating results and general industry, economic and market conditions and growth rates; fluctuations in Nortel's cash flow, level of outstanding debt and current debt ratings; Nortel's ability to recruit and retain qualified employees; the use of cash collateral to support Nortel's normal course business activities; the dependence on Nortel's subsidiaries for funding; the impact of Nortel's defined benefit plans and deferred tax assets on results of operations and Nortel's cash flow; the adverse resolution of class actions, litigation in the ordinary course of business, intellectual property disputes and similar matters; Nortel's dependence on new product development and its ability to predict market demand for particular products; Nortel's ability to integrate the operations and technologies of acquired businesses in an effective manner; the impact of rapid technological and market change; the impact of price and product competition; barriers to international growth and global economic conditions, particularly in emerging markets and including interest rate and currency exchange rate fluctuations; the impact of rationalization in the telecommunications industry; changes in regulation of the Internet; the impact of the credit risks of Nortel's customers and the impact of customer financing and commitments; stock market volatility generally and as a result of acceleration of the settlement date or early settlement, which is currently not available, of Nortel's forward purchase contracts; the impact of Nortel's supply and outsourcing contracts that contain delivery and installation provisions, which, if not met, could result in the payment of substantial penalties or liquidated damages; and the future success of Nortel's strategic alliances.
    For additional information with respect to certain of these and other factors, see the most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q filed by Nortel with the SEC. Unless otherwise required by applicable securities laws, Nortel disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

    Nortel, the Nortel logo and the Globemark are trademarks of Nortel Networks.

--30--LR/da*

CONTACT: Nortel Sabine Werb, +49 69 6697 1906 email: sabine.werb@nortel.com or Jay Barta, 972-685-2381 email: jbarta@nortel.com

KEYWORD: GERMANY INTERNATIONAL EUROPE TRACK INDUSTRY KEYWORD: TELECOMMUNICATIONS SOFTWARE NETWORKING HARDWARE COMPUTERS/ELECTRONICS TRADESHOW PRODUCT MARKETING AGREEMENTS SOURCE: Nortel

Copyright Business Wire 2005