Wavecom plans to ramp up production of WISMOs as one million milestone is achieved

Issy-les-Moulineaux, France-February 08, 2001

Wavecom SA (Nasdaq : WVCM; Nouveau Marché : WAVECOM), a leading developer of digital wireless standard modules (WISMO™), today announced the production and delivery of the one-millionth WISMO module in late January 2001. At the same time, the company unveiled an ambitious production ramp-up objective, announcing its intention to seek increased production capacity at third-party suppliers to enable the production of up to several million WISMOs in 2001.

"Production is increasing at a very rapid rate and is expected to continue to ramp up even more quickly over the coming months. Our WISMO products are fully stable and we are getting very satisfactory yields," said Wavecom Corporate Manufacturing Director Marc Cases. WISMO volumes increased from about 6,500 units per month in January 2000 to 160,000 units in December. Cases described the production results of the last months as "the first step toward very high volume production."

WISMO modules are currently produced on two lines by Solectron, a leading contract manufacturer, at its plant in Bordeaux, France. Solectron is preparing to begin production on two additional lines this month. Wavecom also is considering the introduction of a second manufacturing supplier in order to meet its volume, quality and cost objectives.