Wavecom reports 2000 year-end revenues of €65.6 million

Annual Revenues Increase 79.4% - 4Q Revenues Increase 370.6%
Issy-les-Moulineaux, France -January 23, 2001

Wavecom S.A. (NASDAQ: WVCM; Nouveau Marché: WAVECOM), a leading developer of digital wireless standard modules (WISMO™), today announced preliminary revenues for the fourth quarter and full year ended December 31, 2000. All revenues are unaudited and reported in accordance with US GAAP.

For the quarter ended December 31, 2000, Wavecom reported total revenues of €30.9 million, compared with €6.6 million in the same period last year, an increase of 370.6%. Product revenues for the fourth quarter increased 384.7% to €29.6 million compared with €6.1 million in the fourth quarter of 1999. This also represents a 93.5% increase compared to product revenues of €15.3 million for the third quarter of 2000, reflecting the successful ramp-up of WISMO production in the fourth quarter of 2000.

Total revenues for the full year ended December 31, 2000 increased 79.4% to €65.6 million compared with €36.6 million in 1999. Product revenues for the full year were €63.1 million compared with €34.6 million for the full year 1999, an increase of 82.5%.

Commenting on the Company's results for the quarter, Michel Alard, Chairman, said: "Our strong performance in the fourth quarter demonstrates our successful transition to higher volume manufacturing. The increases we made to our production capacity and supply chain allowed us to significantly augment our delivery of products under existing contracts, notably to the large Asian customers TCL Mobile Communications, Sewon and Inventec. We continue to execute our market strategy as demonstrated by the recent contract signed with US-based Trimble and the second order received from China's TCL Mobile Communications. With our new office in Seoul, Korea, and the strong additions to our management team with the appointment of Manufacturing Director, Marc Cases, and Sales and Marketing Director, Eric Fortems, Wavecom is prepared for the next stages of growth and continues to focus on becoming a global leader in the GSM market."