O2 Announces Sierra Wireless USB Modem

O2 first in Europe to launch the Sierra Wireless AirCard® 875U USB Modem
LONDON, U.K. and VANCOUVER, Canada -June 05, 2007

O2 and Sierra Wireless today announced the availability of the Wireless USB Modem (Sierra Wireless AirCard® 875U) on the O2 network in the UK.   Designed for mobile professionals on the move, the Wireless USB modem from O2 provides an always-on Internet connection through the USB port, enabling greater compatibility with a wide range of computers, and offers optimal performance through in-built battery and easy configuration.

Enabling users to work at home, in the office or on the move, the Wireless USB Modem from O2 is designed to work on GPRS and 3G networks, as well as EDGE and HSDPA networks in many countries around the world*.  Users can send or receive information at speeds of up to 384Kbps (when in 3G coverage) and up to 53.6Kbps on GPRS while only paying for data sent and received, allowing them to stay connected to the Internet at no additional cost.

Setting up the Wireless USB Modem from O2 is quick and easy.  Users simply place an O2 Data SIM into the Wireless USB Modem and load the Sierra Wireless Watcher software supplied to a Desktop PC or laptop.  The Wireless USB Modem connects through a flip-out connector to a USB port on the Desktop PC or laptop running Windows 2000, XP, Vista or Mac OS X operating systems.  To extend flexibility for users who would like to connect it to a Desktop PC, the Wireless USB Modem comes with a docking station that can be plugged into the back of the computer and sit conveniently on a desk.

“The Wireless USB Modem is a great addition to O2’s range of products and services for mobile professionals on the move,” said Phil Ledward, Head of Data Marketing at O2. “Providing fast access speeds and a quick and easy setup, the Wireless USB Modem from O2 enables users to get the most out of their time wherever they are.”

“We are pleased to work with O2 to deliver the Sierra Wireless AirCard 875U USB modem to O2 data customers,” said Jim Lahey, Vice President, EMEA for Sierra Wireless. “The Wireless USB Modem offers a convenient option for those who want more flexibility than a PC card or an ExpressCard provides, without compromising the high-performance, reliable wireless connection they need and expect from O2 and from Sierra Wireless.” 

The Wireless USB Modem from O2 is now on sale at £120rrp and is available in O2 retail stores and online at www.o2.co.uk.

- Ends –

* International GPRS usage is offered where O2 has a partner network.  Charges vary by country

About O2

O2 is a leading provider of mobile services to consumers and businesses in the UK.  These services include voice, text, media messaging, games, music and video, as well as always on data connections via GPRS, 3G and WLAN. Every month, O2’s 17.8 million customers send well over a billion text messages.  O2 UK is part of Telefónica O2 Europe which comprises mobile network operators in the UK, Ireland and Slovakia along with integrated fixed / mobile businesses in Germany and the Czech Republic.  Telefónica O2 Europe also owns 50% of the Tesco Mobile and Tchibo Mobilfunk joint venture businesses in the UK and Germany respectively as well as having 100% ownership of Be, a leading UK fixed broadband provider
O2 was ranked as 5th best place to work in the Best Companies to Work for 2007 List and has been awarded a two-star accreditation denoting an ’outstanding’ company.
(For b-roll footage of O2, please visit www.thenewshub.co.uk)

About Sierra Wireless

Sierra Wireless modems and software connect people all over the world with mobile broadband networks that keep them in touch, informed, and productive from wherever they need to be. The Company offers a diverse product portfolio addressing enterprise, consumer, original equipment manufacturer, machine-to-machine, and specialized vertical industry markets, and provides professional services to customers requiring expertise in wireless design, integration, and carrier certification. With 2006 revenues of $221 million, Sierra Wireless (NASDAQ: SWIR – TSX: SW) is headquartered in Richmond, British Columbia, Canada with additional offices in Carlsbad and Hayward, California; London; and Hong Kong. For more information about Sierra Wireless, visit www.sierrawireless.com.

“AirCard” is a registered trademark of Sierra Wireless. Other product or service names mentioned herein may be the trademarks of their respective owners.

Sierra Wireless Forward Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties. These forward-looking statements relate to, among other things, plans and timing for the introduction or enhancement of our services and products, statements about future market conditions, supply conditions, channel and end customer demand conditions, revenues, gross margins, operating expenses, profits, and other expectations, intentions, and plans contained in this press release that are not historical fact. Our expectations regarding future revenues and earnings depend in part upon our ability to successfully develop, manufacture, and supply products that we do not produce today and that meet defined specifications. When used in this press release, the words "plan", "expect", "believe", and similar expressions generally identify forward-looking statements. These statements reflect our current expectations. They are subject to a number of risks and uncertainties, including, but not limited to, changes in technology and changes in the wireless data communications market. In light of the many risks and uncertainties surrounding the wireless data communications market, you should understand that we cannot assure you that the forward-looking statements contained in this press release will be realized.