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NEC, SIEMENS ALLY FOR 3G SYSTEM

TOKYO-NEC Corp. and Siemens AG agreed to form a strategic alliance and signed a pact to
form a joint venture to develop the third-generation mobile system, Universal Mobile Telecommunications System.
The companies said they will begin operating the joint venture this year and will develop common products for the
UMTS radio subsystem. In addition, they said they will evaluate a wider range of cooperation, such as marketing and
sales, as well as technologies of Internet Protocol-based core networks for 3G systems.

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