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Novatel Wireless Signs a New Distribution Agreement with Israel Technology Trading

SAN DIEGO, CALIFORNIA - June 13, 2002 - Novatel Wireless, Inc. (Nasdaq:NVTL), a leading provider of wireless data access solutions, announced today that it has expanded its distribution into Israel with Israel Technology Trading, Inc., a holding company for leading wireless technology companies with R&D, integration and support facilities in Israel. Israel Technology Trading will deliver Novatel Wireless' Merlin GSM/GPRS Family of Wireless PC Cards, including the Merlin G200 and G300 series and future products throughout Israel.

Significantly, many technology companies have their R&D headquarters based in Israel and many wireless and POS terminals are developed and manufactured in Israel and marketed worldwide.

"Israel is a promising wireless data market with four mobile wireless operators, cellular penetration rate of 80% and potential far beyond its population," said Joe Shayovitch, president of Israel Technology Trading. "Novatel Wireless' growing portfolio of advanced products give our customers the wireless solutions they need in an expanding mobile world. Together we can supply individuals, R&D departments and corporations all over Israel with new products that help to improve both communication and productivity in our community and abroad."

Israel Technology Trading has the experience of using and integrating Novatel Wireless modems into it's own terminals and devices developed in Israel. The engineering experience and expertise gained by Israel Technology Trading in the integration of the Novatel Wireless modems for it's own use will now be put to work to support the Israeli cellular operators and companies that are developing and/or integrating various wireless products and technologies.

"Israel Technology Trading has a strong, leadership position in the mobile industry in Israel," explained Owen Stephenson, senior vice president of GPRS operations for Novatel Wireless. "We believe that this collaboration with Israel Technology Trading will be effective in delivering Novatel Wireless' Merlin PC cards and future products to an extensive network of enterprises. We continue to build relationships with distributors in a number of different countries to provide access to Novatel Wireless products across the world."

The Merlin G200 Series will be available immediately and the Merlin G300 Series will become available in the third quarter of 2002. Pricing will be determined by network operators and other channel markets.


The Merlin G200 Series is a family of dual band (900/1800) wireless PC Card modems based on GSM/GPRS technology. Slightly larger than a credit card, Merlin G200 slides inside your Type II PC Card slot; providing access to email, corporate databases and the Internet at maximum speeds of up to 53.6 kbps over GPRS and 14.4 kbps over GSM. Equipped with a robust removable antenna to enhance portability, the Merlin G200 provides Short Messaging Service (SMS) capabilities allowing users to send and receive text messages for quick person-to-person or group chats from their laptop or handheld device. The Merlin G201 is voice capable over the GSM network allowing users to make and receive calls from a laptop or Pocket PC device. Merlin G200 and G201 are compatible with Microsoft Windows 98, 2000, Millennium Edition, XP and Pocket PC 2000 and 2002 operating systems.


The Merlin G300 Series is a family of true Type II, tri-band PC Cards that are compatible with Windows 98, 2000, Millennium Edition, XP and Pocket PC operating systems. The application software simplifies user interaction with Windows based operating systems and provides an integrated environment for SMS, fax, and dialer functionality. GPRS capabilities result in an "always on" experience, so that the user can access data wirelessly at the click of a button. Switching over to GSM-based applications like text messaging, fax, and voice calls is equally simple, resulting in an enhanced user experience. The Merlin G300 Series will offer standard GSM voice capabilities allowing the user to make and receive calls from a laptop or Pocket PC device.


GPRS is an exciting new wireless technology standard which has profoundly altered and improved the data services available over GSM-based wireless networks. An over-the-air system for transmitting data on GSM networks, GPRS technology converts data into standard Internet packets, enabling interoperability between the Internet and the GSM network, and providing the user with an "always on" experience. One of the great strengths of GSM is its international reach, giving consumers seamless service in over 170 countries around the world. This has been a vital driver in growth, with over 645 million GSM subscribers globally, representing over 67% of all handsets. GPRS wireless technology employs extensive authentication and encryption via standard GSM algorithms, making it one of the most secure public wireless systems in the world. The Subscriber Identity Module (SIM card), a key component of the GSM network, stores the authentication and encryption algorithms, making it virtually impossible for unauthorized users to capture and decipher messages.


Israel Technology Trading, Inc. is a holding company for various wireless businesses including distribution, integration and development of unique and innovative mobile data terminals and solutions. Via its wholly owned subsidiary Wireless Links headquartered in Israel, the company is developing a family of unique and innovative mobile data terminals under the brand name Acknowledger. Acknowledger will be packaged with middleware and various mapping, dispatch and routing applications.


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 Minstrel® Family of Wireless Handheld Modems, MerlinTM Family of Wireless PC Card Modems, Sage® Wireless Serial Modems, Lancer 3WTM Family of Ruggedized Modems and ExpediteTM Family of Wireless Embedded 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: or call 888-888-9231.

The Novatel Wireless logo, Minstrel, Merlin, Merlin G201, 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.

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