Wavecom and Sunlink announce a Strategic Alliance to accelerate Wireless M2M development in Asia Pacific region

Wavecom to license Open AT® software and Wireless CPU® reference designs to Sunlink
Issy-les-Moulineaux (France) and Hong Kong (China), -July 09, 2007

Wavecom SA (NASDAQ: WVCM, Eurolist: AVM) and Sunlink International Holdings Limited (“Sunlink”) (a Hong Kong-listed company, Stock Code: 2336) today announced the creation of Sunlink Wavecom Limited, a strategic alliance to develop and support wireless machine-to-machine applications based on Wavecom’s OpenAT® Software suite and Wireless CPU® hardware.

A new company, Sunlink Wavecom Limited (90.5% - 9.5%, respectively) has been formed with an initial investment of $1 million US. It will provide support, maintenance and application-design services specifically using Open AT® Software Suite and reference designs from Wavecom. Sunlink Wavecom Limited will be incorporated in Hong Kong with its operations located in Shen-Zhen, China, and will initially employ a staff of 20 engineers and technical support specialists.

The business’s initial focus will be on high-volume applications like fixed wireless, automotive and fleet management in the Asia Pacific region and expects to expand to other applications and regions over time.

“We are very proud to form this strategic alliance with Sunlink that should help to accelerate the expansion of the market for wireless machine-to-machine applications” commented Dr. Ronald D. Black, CEO of Wavecom. Dr. Andy Wong, Chairman of Sunlink added, “We have been working together with Wavecom for the last year, and have seen the unparalleled value of their technology. This alliance is strategic for both companies and will provide the key technical support required to expand the global market for Open AT® technology, drawing on the design and distribution expertise of our subsidiary – Tech-Link T&E Limited.”

Initially, Sunlink’s products will be based on Wavecom’s Q24 family of Wireless CPUs®, and Wireless Microprocessor® technology. They will have full OpenAT® capabilities, and, Wavecom will supply the baseband component.

Philippe Guillemette, Wavecom CTO underscored the importance of this alliance in stating, “This new model, not only allows us to license our technology, but it represents the first step in expanding the reach of our chipset technology in becoming the standard platform for future M2M development.”

“Expanding our regional presence and merging the technical and marketing skills of Wavecom with Sunlink through this alliance is an important step to reach in-system applications by drawing on Sunlink’s in-depth knowledge of the Chinese market” commented Didier Dutronc, Wavecom Group Vice President and Managing Director of the Asia Pacific Region. He continued “Adding chipset components to our portfolio will increase revenues, enhance our business model, and also provide second source opportunities to a broader customer base. This expanded business model and multi-sourcing option are key steps in establishing standards in the emerging wireless machine-to-machine market.” Clive Choi, COO of Sunlink added, “We believe this exciting new business model will be able to substantially increase Sunlink’s sales over the next year, and also dramatically expand the Wavecom architecture.”

About Sunlink International Holdings Limited.

Sunlink International Holdings Limited has been listed on the Main Board of the Hong Kong Stock Exchange since 2003. Headquartered in Hong Kong, Sunlink mainly focuses on the development of automobile communication device for its auto parts & devices business. In addition, Sunlink also involves in the sales and marketing of semiconductors and power metering solutions business. It has an extensive geographic reach and is supported by an R&D and technical support center in the Shenzhen High-Tech Zone and liaison points in Beijing and Shanghai.