Lucent Technologies And Novatel Wireless Selected By KPN To Supply 3G UMTS PC Cards To Support Mobile High-Speed Data Services

FOR IMMEDIATE RELEASE: WEDNESDAY 7TH JULY, 2004

HILVERSUM, The Netherlands and SAN DIEGO, California - Lucent Technologies (NYSE: LU) and Novatel Wireless (NASDAQ: NVTL) today announced that the two companies will supply KPN in the Netherlands and E-Plus in Germany with the Merlin U530 Universal Mobile Telecommunications System (UMTS) PC Card Modems - jointly developed by Lucent and Novatel Wireless. Under the terms of a multi-million dollar supply agreement, Lucent and Novatel Wireless will supply these 3G data cards to support the rollout of high-speed data services on the 3G UMTS networks in KPN's territories.

The 3G data cards will enable KPN to offer customers enhanced services such as high-quality streaming video and audio, secure mobile access to e-mail with large attachments and other information stored behind corporate firewalls at data transfer speeds of up to 384 kilobits per second. Network users will have access to KPN's enhanced high-speed data services by plugging the PC cards into a laptop and installing the accompanying client software.

"With these 3G UMTS data cards we will be able to successfully launch UMTS and sell high speed data services, so we can position ourselves as the UMTS supplier for enterprise solutions across our customer base in Europe," said Mark de Jong, executive vice president Corporate Development KPN Mobile Division.

"KPN is one of the leaders in introducing cutting edge wireless services in the countries it operates in," said Heide Jeuken-Dahmen, director mobility segment for Lucent Technologies. "These services are particularly attractive to business users, and we are pleased to be supporting KPN as the company develops to offer customers high-speed mobile access to the Internet and corporate networks and multimedia services using the Merlin U530 Wireless PC Card Modem from Lucent and Novatel Wireless."

"Continued adoption of the Merlin U530 testifies to its reliability, ease of use and best in class functionality," said Peter Leparulo, CEO for Novatel Wireless. "The addition of KPN represents our tenth top tier operator customer in Europe, clearly establishing us as the market leader in 3G UMTS data solutions."

About KPN N.V.

KPN offers high quality and innovative telecommunication services to both consumers and businesses. KPN's core businesses are: fixed network services in the Netherlands, mobile services in the Netherlands, Germany (E-Plus), and Belgium (BASE) and data services in Western Europe. At the end of 2003, KPN serviced a total of 7.7 million fixed line and 1.5 million Internet customers, and 14.7 million mobile customers.

About Lucent Technologies

Lucent Technologies designs and delivers the systems, services and software that drive next-generation communications networks. Backed by Bell Labs research and development, Lucent uses its strengths in mobility, optical, software, data and voice networking technologies, as well as services, to create new revenue-generating opportunities for its customers, while enabling them to quickly deploy and better manage their networks. Lucent's customer base includes communications service providers, governments and enterprises worldwide. For more information on Lucent Technologies, which has headquarters in Murray Hill, N.J., USA, visit www.lucent.com.

ABOUT NOVATEL WIRELESS, INC.

Novatel Wireless, Inc. is a leading provider of wireless broadband access solutions. Novatel Wireless' MerlinTM PC Cards, ExpediteTM Embedded Modems, and Freedom Box Ruggedized Modems enable high-speed wireless access to personal, corporate and public information via portable computers, handheld devices and vertical market applications. The company delivers innovative 2.5G and 3G solutions to operators, distributors and vertical markets worldwide. Headquartered in San Diego, California, Novatel Wireless is listed on Nasdaq: NVTL.

© 2004 Novatel Wireless. All rights reserved. The Novatel Wireless logo, Merlin, Merlin U530, Expedite and MobiLink are trademarks of Novatel Wireless, Inc. All other brands, products and company names mentioned herein are trademarks of their respective holders.

This release may contain forward-looking statements, which are made pursuant to the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995, as amended to date. These forward-looking statements involve risks and uncertainties. A number of important factors could cause actual results to differ materially from those in the forward-looking statements contained herein. These factors include risks relating to technological changes, continued acceptance of and market demand for Novatel Wireless' products, projections of future results and dependence on intellectual property rights. These factors, as well as other factors that could cause actual results to differ materially, are discussed in more detail in Novatel Wireless' filings with the United States Securities and Exchange Commission (available at www.sec.gov) and other regulatory agencies.