Comstar and Intel to Develop First Mobile Wimax Network in Russia

Sergey Pridantsev, president and CEO of Comstar UTS, commented: "We are very enthusiastic about our collaboration with Intel. By combining our efforts we plan to substantially increase the availability of mobile wireless communications for our subscribers and provide the efficient Internet access for all clients at any place. The cooperation with Intel will strengthen our leading position in the broadband market."

Intel is currently developing embedded mobile WiMAX solutions for notebook PCs and ultra mobile and mobile Internet devices. In the middle of 2008, the company is expected to launch its first embedded mobile WiMAX/Wi-Fi module, codenamed "Echo Peak" with its next-generation Intel Centrino processor technology for notebooks and ultra-mobile devices. A solution optimized for mobile Internet devices with low power consumption, codenamed "Baxter Peak," is also expected to be available next year.

Sriram Viswanathan, vice president of Intel Capital and general manager of Intel WiMAX Program Office, added: "The effort between Comstar and Intel to bring mobile WiMAX to the people of Russia underscores the cost, performance and capability of this technology to give people a truly mobile Internet experience. The commitment to build mobile WiMAX networks continues to grow globally and we expect to see initial deployments in a number of markets starting in 2008 and growing throughout 2009 and beyond."

Mobile WiMAX is a broadband wireless technology that provides low cost multi-megabit speed with greater throughput for accessing large amounts of data, such as movies and multi-media content.

Intel will continue to cooperate with global manufacturers to develop and test notebook PCs and mobile devices to work with mobile WiMAX networks. A number of PC and device manufacturers have already expressed intent to embed these solutions into systems next year and more are expected in the next several months.

Dmitry Konash, regional manager of Intel in the CIS, commented: "The strategic collaboration with one of Russia's telecom leaders, Comstar UTS, ensures that WiMAX will be successfully developed in Russia. According to our agreement, our companies will work together to implement the joint marketing programs to develop mobile WiMAX-based solutions not only in Moscow, but also in other cities and regions of Russia."

-----------