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Iusacell Selects Lucent Technologies to Expand Its 3G CDMA2000 1X Network in Mexico; Advanced Voice and Data Network to Provide Nationwide Coverage

Posted on: Friday, 24 September 2004, 06:00 CDT

Grupo Iusacell, S.A. de C.V. (Iusacell) (BMV: CEL, NYSE: CEL), a leading provider of digital wireless telecommunications services in Mexico, and Lucent Technologies (NYSE: LU), today announced an agreement to expand Iusacell's third-generation (3G) CDMA2000(R) 1X network nationwide. By increasing the coverage and capacity of its 3G network, Iusacell will be able to respond to additional network traffic resulting from its growing customer base and demand for high-speed mobile data services.

Under the terms of the agreement, Lucent will supply equipment, software and services for the network expansion, and will deploy new capabilities for Iusacell's Intelligent Network platform, enabling the introduction of prepaid voice and data services. In addition to these enhancements, Iusacell will continue to offer advanced voice and high-speed data services, such as mobile Internet access, at speeds of up to 153 kilobits per second.

"With the expansion of our CDMA2000 1X network, Iusacell will increase its offerings of advanced mobile data services," said Gustavo Guzman, CEO, Iusacell. "This improves our network, increases the existing coverage and capacity, and enhances the availability of our high-speed data network for our users across the country."

"It also supports advanced applications such as ring tone and game downloads, access to productivity tools such as email, cellular 'chat', and the transmission of photos and short videos. This platform will also support voice over IP applications, the basis of the system that emulates 'trunking' networks. With this project, Iusacell reinforces its leading position and commitment to continuously improve network quality and customer satisfaction," added Mr. Guzman.

The expansion projects for Iusacell's network includes 3G services for all of Mexico, growth and network upgrades, a network security platform and all the services associated with this project. Lucent Worldwide Services will provide network installation and maintenance.

"We are pleased to work with Iusacell as they continue to expand their 3G network, after having successfully partnered to complete the initial deployment of this advanced voice and high-speed data network," said Osvaldo di Campli, Lucent Technologies sales vice president for Mexico, Central America and the Caribbean. "This expansion will feature our latest and most advanced mobile networking equipment and protect Iusacell's investment, enabling the immediate implementation of CDMA2000 1X services, and supporting the evolution to more advanced CDMA2000 solutions such as 1xEV-DO and 1xEV-DV in the future."

Lucent Technologies de Mexico, a subsidiary of Lucent Technologies, will provide the products and services outlined in this agreement.

CDMA2000 is an advanced and efficient wireless technology being introduced worldwide and an international 3G standard established by the International Telecommunications Union (ITU). CDMA2000 cost-effectively evolves a multitude of network technologies to support 3G services.

A global leader in the development of commercial 3G spread-spectrum solutions, Lucent's Mobility Solutions Group has deployed CDMA2000, CDMA450, and W-CDMA/UMTS networks with more than 30 mobile operators on the continents of North and South America, Asia, Europe and in the Australia/New Zealand region. Lucent also is collaborating with major UMTS/W-CDMA operators in Asia, Europe and North America on the development of their 3G networks. Lucent has deployed more than 90,000 spread-spectrum base stations for mobile operators worldwide, of which 50,000 are already supporting 3G services.

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 percent 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 operates.

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.

CDMA2000 is a registered trademark of the Telecommunications Industry Association.

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