Lucent Technologies And Novatel Wireless Unveil Jointly Developed Wireless Modem Card For 3G UMTS Networks

CANNES, FRANCE – Lucent Technologies (NYSE: LU) and Novatel Wireless, Inc. (Nasdaq:NVTL) today unveiled the Merlin U530(TM) Wireless PC Card Modem, a high-speed data device designed to enable mobile users to access the Internet and corporate networks over third-generation (3G) Universal Mobile Telecommunications System (UMTS) networks.

The Merlin U530 was jointly developed by Lucent and Novatel Wireless under an agreement announced in August 2002, and incorporates QUALCOMM's MSM6200(TM) Mobile Station Modem (MSM(TM)) chipset and system software. The Merlin U530 Wireless PC Card Modem provides enterprise users with ubiquitous wireless data access via a 3G UMTS wide-area network. By plugging the PC card into a laptop and installing the necessary client software, subscribers on 3G UMTS networks will be able to access email, the Web, as well as data and applications stored behind corporate firewalls at speeds of up to 384 kilobits per second. These data speeds are sufficient to stream audio and video content, send and receive email with large attachments such as PowerPoint presentations and surf the Internet.

"We believe that the enterprise market for high-speed mobile data services represents a tremendous opportunity for 3G UMTS operators," said Roger Derrien, vice president for UMTS product development with Lucent's Mobility Solutions Group. "The Merlin U530 PC Card Modem from Novatel Wireless is exactly the kind of UMTS device that mobile operators need to help them compete effectively in this attractive market."

The announcement follows the successful completion by the two companies of a series of high-speed data calls – completed at data transmission speeds of up to 384 kilobits per second -- using the Merlin U530 and Lucent's commercial-grade UMTS infrastructure and software. For the tests, laptop PCs equipped with the Merlin U530 were used to access the Internet and corporate networks, allowing users to browse the Web, run streaming video and retrieve and open emails with large attachments. The tests also involved successful "softer" handoffs, which involve the movement of users between sectors on a base station.

"Using the Merlin U530 and Lucent's end-to-end 3G UMTS solutions, mobile operators will be able to offer their subscribers a truly compelling mobile data experience," said Peter Leparulo, CEO of Novatel Wireless. "This represents another key milestone in our efforts to promote the rapid adoption of mobile high-speed wireless data solutions."

The Merlin U530 Wireless PC Card Modems from Novatel Wireless are an integral element of Lucent's Secure Mobile Data Solutions for Enterprises (SMDSe) portfolio of end-to-end solutions that will allow business customers to access essential applications -- such as e-mail, company databases and internal Web applications -- behind corporate firewalls via third-generation (3G) UMTS and CDMA2000(TM) wireless networks, as well as corporate WLANs and public "hot spots." The SMDSe portfolio will enable mobile professionals to use their laptop PCs or PDAs to access all the applications they normally use, with the same level of security, data throughput and performance they typically experience in their office.

UMTS -- also known as Wideband CDMA (W-CDMA) -- is an advanced and efficient wireless technology being introduced worldwide, and an international 3G standard established by the International Telecommunications Union (ITU). UMTS is a spread-spectrum technology designed to support the 3G evolution needs of Global System for Mobile Communications (GSM), and other wireless network operators.

Lucent is demonstrating UMTS technology – featuring innovative wireless applications and services delivered over high-speed data connections – in its stand (Stand A9, Hall 1) at the 3GSM World Congress 2003 show, taking place from Feb. 18-21 at the Palais des Festivals in Cannes, France.

Novatel Wireless is featuring its Expedite(TM) and Merlin(TM) GSM/GPRS and UMTS product lines at Stand D28, Hall 2 at the show.

ABOUT LUCENT TECHNOLOGIES

Lucent Technologies, headquartered in Murray Hill, N.J., USA, designs and delivers networks for the world's largest communications service providers. Backed by Bell Labs research and development, Lucent relies on its strengths in mobility, optical, data and voice networking technologies as well as software and services to develop next-generation networks. The company's systems, services and software are designed to help customers quickly deploy and better manage their networks and create new, revenue-generating services that help businesses and consumers. For more information on Lucent Technologies, visit its Web site at www.lucent.com.

ABOUT NOVATEL WIRELESS, INC.

Novatel Wireless, Inc. is a leading provider of wireless data modems and software for use with handheld computing devices and portable personal computers. The Company delivers innovative and comprehensive solutions that enable businesses and consumers to access personal, corporate and public information through email, enterprise networks and the Internet. Novatel Wireless also offers wireless data modems and custom engineering services for hardware integration projects in a wide range of vertical applications. The Novatel Wireless product portfolio includes the Merlin(TM) Family of Wireless PC Card Modems, Expedite(TM) Family of Wireless Embedded Modems, Minstrel^® Family of Wireless Handheld Modems, Lancer 3W(TM) Family of Ruggedized Modems and Sage^® Wireless Serial Modems. Headquartered in San Diego, California, Novatel Wireless is listed on The Nasdaq Stock Market (Nasdaq: NVTL). For more information, please visit the Novatel Wireless web site: www.novatelwireless.com or call 888-888-9231.

The Novatel Wireless logo, Minstrel, Merlin, Merlin U530, Sage, Lancer 3W and Expedite are trademarks of Novatel Wireless, Inc. Minstrel and Sage are registered with the U.S. Patent and Trademark Office. 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. 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. These factors include risks relating to technological changes, continued acceptance of Novatel Wireless' products 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 and other regulatory agencies.