24th August 2004 - New World Mobility (NWM) and Nokia have signed a USD 30 million contract for the expansion of the Hong Kong operator's GSM network, including EDGE and Push to talk over Cellular (PoC). Deliveries have already begun, with commercial services planned for later this year.

Under the agreement Nokia will be the sole GSM and EDGE supplier for the eleventh phase of New World Mobility's network deployment, enhancing the capacity and quality of both voice and data services for its 1.2 million subscribers.

EDGE is an advanced GSM radio technology that can better support higher bit rate data services, such as video streaming, while PoC provides a convenient form of instant communication for groups. Both will provide New World Mobility with new opportunities for service differentiation.

"The market potential is enormous," says Dr. Norman Wai, President and CEO, New World Mobility. "PoC has clearly shown that it's a winner, and we know our customers are eager to use this service that can provide them with a convenient instant form of communication for groups. We see it as a strong weapon that will help boost mobile data usage as well as our ARPU levels."

"The deployment of EDGE represents an important step for New World Mobility as we gear up to offer the most exciting services available today, and it enables PoC users to enjoy seamless service. Being a dedicated service provider, we will continue to make smart investment in our infrastructure to ensure the best quality services for our subscribers via advanced mobile technology," adds Dr. Wai.

"The agreement is a further proof of our long-standing relationship with New World Mobility," says Simon Beresford Wylie, Senior Vice President, Networks, Nokia. "The comprehensive package of high-speed EDGE radio systems, combined with key core-network service enablers, such as PoC, will allow New World Mobility to offer exciting new mobile services and maintain a competitive edge."

In addition to its GSM and EDGE solutions, Nokia will provide a wide range of services, including solution consulting and integration, core network implementation, network audit and benchmarking service to optimize network and service performance levels. Also included are hardware services and training services to keep the solution running at peak performance. The system is supported by Nokia NetAct (TM), the only fully featured, multi-vendor, multi-technology operations support system on a single platform.

Nokia is the sole infrastructure supplier for New World Mobility's networks and has been supplying network equipment since 1996. The two companies have worked closely together in the deployment of advanced mobile communications.

Nokia has a strong track record in implementing EDGE and has reached the global number one position in this technology. Nokia has 35 public EDGE references, and its solution is used in 16 out of 33 commercially launched EDGE networks.

About New World Mobility
Since its launch in 1997, New World Mobility has become one of Hong Kong's fastest growing mobile operators. Offering a wide range of quality communication services including voice service and customized value-added services, NWM continues to introduce various advanced mobile multi-media solutions to meet future challenges.

NWM's high quality mobile services are provided by New World PCS Ltd. ("NWPCS"), a wholly -owned subsidiary of New World Mobile Holdings Limited ("NW Mobile"). NW Mobile is a public company listed in Hong Kong (Hong Kong stock code: 0862), of which New World Development Company Limited ("NWD") is the major shareholder (56.66%; Hong Kong stock code: 0017).

About Nokia
Nokia is committed to long-term development and preferred partnership in China. With innovative technology, Nokia has continuously strengthened its market position in China as a leading supplier of mobile and broadband network systems and mobile phones. Nokia is the largest exporter in the Chinese mobile telecommunications industry. China is also an important part of Nokia's global manufacturing and R&D networks. Nokia has five R&D units, four manufacturing sites and widespread operations in China. The total number of Nokia employees in China is over 4,300.

Nokia is the world leader in mobile communications, driving the growth and sustainability of the broader mobility industry. Nokia is dedicated to enhancing people's lives and productivity by providing easy-to-use and innovative products like mobile phones, and solutions for imaging, games, media, mobile network operators and businesses. Nokia is a broadly held company with listings on five major exchanges.

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