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 | GSM MoU Association Responds to Recent Claims of Compromise to GSM Security |
| 'Wearable' Cellular Phone Gets Status Boost from Coach |
| Eavesdropper Could Get 65 Years for Cell-Phone Invasions and Harassment |
| CTIA Says Progress on Tax Repeal Promising |
| Three Companies Plan to Offer High-Speed Transmission over Broadband Wireless Networks |
| Wireless Industry Promotes Safe Phone Use |
| Centennial Cellular Says It's for Sale and Reports Loss |
| GTE Posts Loss, Ameritech Net Drops; Gains Reported in Phone Lines, Services |
| Sprint PCS Seeks Partners to Extend Coverage in Small Cities, Rural Regions |
| Motorola Inc.'s Puerto Rico Factory to Close |
| Saudi Prince Buys Stake in Teledesic |
| Ericsson Wins $200 Million Triton PCS Supply Contract |
| Bell Canada International Wins Cellular Phone License in Brazil |
| OliMan Lifts Interest in Italian Phone Operator |
| Three Groups Bid for Italy's Third Cell Phone License |
| China Telecom (Hong Kong) Poised for Cellular Buy |
| Britain's House of Lords Makes Pagers Available to Peers |
| WinStar Launches Fixed Wireless Multipoint Metropolitan Area Network in Washington, D.C. |
| Flaw Is Found in Digital Wireless Phone System |
| Cryptographers Announce Break in Authentication Encryption for GSM Phones |
| Quick Wireless LANs Aid Disaster Efforts |
More News on the Net:
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 | Nextel Reports First Quarter 1998 Results |
| 360 Reports First Quarter Net Income and Revenues |
| Nortel Reaches Milestone -- One Million Wireless Subscribers in Colombia |
| Frost & Sullivan Study: Market for Public Local Wireline & Wireless Voice Services Thrown Open by Telecommunications Act of 1996 |
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| GSM MoU Association Responds to Recent Claims of Compromise to GSM Security DUBLIN, Ireland, April 15, 1998 -- The GSM MoU Association, which represents the world's GSM network operators, regulators and administrative bodies from 109 countries/areas of the world, has received reports from the U.S. which claim that the security provided by the GSM SIM card may have been compromised. The recent, unsubstantiated, reports concern the mathematical code (A3) used to provide authentication within the GSM smartcard. Charles Brookson, Chairman of the GSM MoU Association's Security Group said: "The Association's members have been aware of reported attempts to compromise this element of GSM security. It has been alleged that, through a long process of trial and error, an individual user's secret key code may be discovered." "It is important to stress that this would only be feasible where the hacker has the card in their physical possession. If achieved, it would only compromise that one card and it is not practical to achieve over the airwaves by eavesdropping, so GSM mobiles cannot be cloned (copying the users identity) in the manner of analogue phones." "There is no significant breach of security here," added Brookson. "Compromising the A3 algorithm does not, in itself present a significant threat to GSM security overall." "Furthermore, the GSM algorithm the students are claiming to have broken is the example algorithm provided to our members for them to create their own individual version. "Our customers can be assured that GSM remains a secure technology with standards of security greater than any other mobile public network," said Brookson. CONTACT: Mike Houghton, Communicreate, 1901 Old Stage Road, Alexandria, VA 22308, Ph:+ 703-799-7383, Fax: +703-799-5819, PCS: +703-862-5803, Pager: 1-800-796-7363 PIN: 106-0121 *** Visit the Wireless Fraud Microsite for everything you need to know about wireless fraud! |
| 'Wearable' Cellular Phone Gets Status Boost from Coach Potentials in Marketing (04/98) Vol. 31, No. 4, P. 11 -- Cellular phones were once bulky, but they have shrunk to the point were Motorola's StarTAC phone--the smallest cellular phone offered--can fit in a leather case designed by Coach. The case was developed specifically for the phone, and it contains a detachable strap and a clip that can attach to belts, handbags, and briefcases. Motorola officials say that the partnership advances the "wearable initiative one step further" by joining technology with top-of-the-line contemporary design. A Coach spokesperson says that the alliance with Motorola delivers advanced design, function, and style to consumers. |
| Eavesdropper Could Get 65 Years for Cell-Phone Invasions and Harassment Virginian-Pilot Online (04/15/98); Frank, Jon -- For over two years, Virginia Beach, Va., resident John Halstead eavesdropped on the cellular phone conversations of his neighbors through the use of a police scanner. Once he learned his victims' phones numbers through listening to their conversations, Halstead would then send disturbing and sometimes pornographic messages to their electronic mailboxes. On Tuesday, Halstead entered a guilty plea in Circuit Court to 21 charges of telephone abuse. On June 1, Judge Frederick Lowe will decide Halstead's sentence, which could be as many as 65 years in prison. Halstead became so adept at his hobby that he could substitute his victims' message greetings with messages that sometimes informed callers that they had contacted a 1-900 telephone sex line. Although it is not a crime to listen to cellular calls by accident with a police scanner, the judge stated that intentionally eavesdropping on private conversations breaks a state law intended to stop wiretapping. *** Visit the Wireless Fraud Microsite for everything you need to know about wireless fraud! |
| CTIA Says Progress on Tax Repeal Promising Wireless Week (04/13/98) Vol. 4, No. 15, P. 13; Warner, Edward -- CTIA CEO Tom Wheeler says that he is disappointed at the way a March House Telecommunications Subcommittee turned into a battle over antenna siting in national parks. During the hearing, Rep. Edward Markey (D-Mass.) issued a challenge to carriers to submit applications to offer coverage to Washington, D.C.'s Rock Creek Park. Wheeler notes that two carriers responded to the challenge, but Cellular One's application was denied because it was incomplete, which Wheeler views as a indication of the NPS' resistance to permitting carriers to perform pre-application testing in the park. Bell Atlantic Mobile's application is still pending. Wheeler points out that the Rep. Billy Tauzin's (R-La.) purpose for calling the meeting was to examine national 911 coverage and the role of states in achieving this goal. Wheeler says that states should provide wireless carriers with protection from lawsuits, such as landline operators have when, for example, a car crashes into a phone pole. Wheeler also believes that states should strive for uniformity in terms of the way in which their public safety dispatch operation deal with wireless carriers, such as with New Jersey, which has centralized 911 coordination. Wheeler is pleased with the progress being made on the repeal of the 100-year-old 3 percent excise tax on telecommunications. Wheeler notes that repeal legislation is being discussed in both chambers of Congress. The bills must name a replacement for the $4.5 billion In revenue generated for the government by the tax, and Wheeler says that several sources are being considered. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Three Companies Plan to Offer High-Speed Transmission over Broadband Wireless Networks Telephony (03/30/98) Vol. 234, No. 13, P. 56; "The First Wave;" Meyers, Jason -- WinStar Communications, Advanced Radio Telecom, and Teligent are taking steps to offer high-speed transmission over broadband wireless networks in major urban areas across the United States. They plan to offer high-bandwidth and bundled services with lower cost and superior quality than landline. Teligent is implementing a point-to-multipoint digital microwave transmission platform that functions with Class C switches. The company recently announced its first successful test call over a point-to-multipoint architecture, which gives it the capability to serve numerous customer buildings from a single base station at a central location. Teligent plans to put its point-to-multipoint systems on the market later this year. WinStar is testing a point-to-multipoint system in Florida, with plans to eventually use point-to-multipoint in its 38 GHz markets. The technology enables fast transmission, high capacity, inexpensive deployment, and speed in getting systems to market. The providers' main worry is gaining access to rooftops to locate their centers and getting inside the building to obtain customer opportunities within. The providers will probably receive competition from fiber-based local carrier networks and incumbent carriers as they improve their networks using digital subscriber line (DSL) technology. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! *** Visit the Wireless Apps Microsite for the latest mobile data products and services! |
| Wireless Industry Promotes Safe Phone Use Wireless Business & Technology (04/98) Vol. 4, No. 4, P. 51; "Promoting Safe Phone Use;" Bainbridge, Heather -- The CTIA recently unveiled a campaign entitled "Safety--Your Most Important Call," which employs print ads, brochures, tip sheets, and TV spots to remind drivers to use their wireless phones responsibly. Peggy England, CTIA's executive director for special projects, explains, "With any new technology, you need to remind people of their responsibility to use that tool in a safe manner." CTIA developed the general campaign and different types of materials, but the trade group is depending on carriers and vendors to get the message to users in their territories. SBC Wireless has been pursuing the safety campaign aggressively. For example, Nokia phones distributed by SBC's wireless operations display the message "Remember: Drive Safely" briefly each time the handset is turned on. Nokia is also talking with its other carrier clients about incorporating the safety message into the products it provides them. CTIA's England notes that other companies are also trying to circulate the safety message. Panasonic showed the safety commercial on its screen in Times Square and Centennial Communications has distributed literature and messages in Spanish to subscribers in Puerto Rico. Companies are also supporting the campaign through Web sites, in-store video monitors, customer newsletters, and on-hold messages. England says that the latest count shows that 3 million safety brochures and 10 million bill stuffers already have been delivered or are in the process being delivered. |
| Centennial Cellular Says It's for Sale and Reports Loss New York Times (04/15/98) P. D4 -- Centennial Cellular, which run and invests in wireless phone networks in the United States and Puerto Rico, reports that it is making itself available to interested buyers. The New Canaan, Conn.-based company's stock soared to a 52-week high yesterday, before ending the day up 29 percent at $31.25. Centennial explains that its board of directors has opted to consider "strategic alternatives" and it has retained the services of investment bank Donaldson, Lufkin & Jenrette. The company posted a net loss of $9.7 million, or 54 cents a share, for its fiscal third quarter ending Feb. 28. Centennial reported a loss of $9.5 million, or 50 cents a share, in the same period a year ago. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| GTE Posts Loss, Ameritech Net Drops; Gains Reported in Phone Lines, Services Wall Street Journal (04/15/98) P. B8; Mehta, Stephanie N. -- GTE has reported a first-quarter loss resulting from previously announced one-time charges. In addition, Ameritech has posted lower earnings from charges on a cost-reducing plan that includes cutting its workforce by 5,000. The cuts will come from Ameritech's wireless and security monitoring units. The restructuring charge and another one-time charge reduced net income for Ameritech to $492 million from $536 million. Revenue for Ameritech totaled $4.13 billion for the quarter, up 7.1 percent from a year earlier. GTE reports a $178 million loss for the quarter on revenue of $5.89 billion, up 11 percent from the year before. Ameritech reported a 4.3 percent growth in access lines while GTE reported 8 percent line growth. BancAmerica Robertson Stephens analyst Tim Horan and other analysts are uncertain whether growth in the companies' cellular units will continue. For example, GTE posted subscriber growth of 13 percent for the quarter, but it had to reduce prices to compete with the rates of its competitors. Because of this, revenue increased only 5 percent to $650 million. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Sprint PCS Seeks Partners to Extend Coverage in Small Cities, Rural Regions Wireless Today (04/14/98) Vol. 2, No. 72, -- Sprint PCS, having rolled out its CDMA service in major U.S. markets, is now trying to increase its presence in smaller cities and rural regions. Similar to AT&T Wireless, Sprint PCS wants to arrange a series of partnerships aimed at exploiting the range of its major trading area (MTA) licenses. Sprint PCS is considering rural telcos, utilities, and PCS licensees, including C-Block ones, as partners. In contrast to AT&T's strategy of giving spectrum in exchange for an equity stake, Sprint PCS wants to team up with more established companies that have access to their own telecom infrastructure or a local retail distribution network. These partners will run systems under the Sprint PCS brand that will join with Sprint PCS' operations to offer seamless coverage. Sprint PCS would receive 8 percent of the revenue raised by the partnership. The partners would have to construct their own networks, but they could take advantage of the economies of scale normally available to Sprint PCS in its handsets and infrastructure deals. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Motorola Inc.'s Puerto Rico Factory to Close Wall Street Journal (04/15/98) P. B4 -- Motorola intends to shut down its pager factory in Vega Baja, Puerto Rico, due to poor global pager sales. The company says that it will let go or transfer roughly 1,500 workers at the factory. Last week, Motorola posted a 45 decline in first-quarter earnings and CEO Christopher Galvin projected that second-quarter results will also be below Wall Street expectations. The company noted a variety of problems, including a 25 percent decline in pager sales to $693 million. Pager orders fell 21 percent. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Saudi Prince Buys Stake in Teledesic New York Times (04/15/98) P. D4 -- Prince Walid bin Talal of Saudi Arabia has purchased a 13.7 percent stake in Teledesic for $200 million, broadening his technology investments, a spokesperson for the billionaire prince says. Teledesic plans to build a network to provide Internet access, video conferencing and voice services, starting in 2002. The $9 billion network will consist of 288 satellites. Before Prince Walid's investment, Bill Gates, Microsoft chairman, and Craig McCaw, cellular phone trailblazer, each owned one third of Teledesic. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Ericsson Wins $200 Million Triton PCS Supply Contract Reuters (04/14/98) -- Ericsson's North American unit has reached a five-year deal worth $200 million to provide Triton PCS--AT&T's first licensed affiliate--with wireless network equipment. Ericsson will provide and deploy base stations and mobile switching center equipment in Virginia, North Carolina, South Carolina, and northern Georgia. Triton will construct and run a digital wireless network that will extend AT&T's digital wireless coverage across Virginia, the Carolinas, Georgia, and the Baltimore/Washington, D.C. area. Triton's network will use D-AMPS 1900 equipment, based on TDMA IS-136 technology. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Bell Canada International Wins Cellular Phone License in Brazil CNews (04/14/98) -- Telet, a consortium in which Bell Canada International owns a 20 percent stake, has won a cellular license for the state of Rio Grande do Sul in southern Brazil--one of the country's wealthier regions--with a bid of $334.5 million. The company hopes to start offering service later this year. Another group involving BCI--Americel--won a license for Brazil's central-west region in July, and it has gained 45,000 subscribers since initiating its service in November. Telet also involves Telesystem International Wireless, Citibank, and Brazilian partners. BCI, which was spun off from telecommunications giant BCE last year to concentrate on the international wireless market, has moved quickly into the Latin American market. Last month, BCI purchased a majority interest in Colombian cellular carrier Occel for roughly $425 million. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| OliMan Lifts Interest in Italian Phone Operator Financial Times (04/15/98) P. 18; Blitz, James -- OliMan, a partnership between Olivetti and Mannesmann, yesterday increased its stake in Omnitel Pronto Italia, Italy's second mobile phone carrier, to around 40 percent as part of a complicated deal involving the acquisition of shares from Sweden's Telia. In a deal valued at about $480 million, Olivetti, Mannesmann, and Bell Atlantic purchased Telia's 9.66 percent stake in Omnitel Sistemi Radiocellulari, the company that controls 70 percent of Omnitel Pronto Italia. The OliMan venture obtained two-thirds of Telia's shares, or 6.43 percent of Omnitel Sistemi, while Bell Atlantic acquired the remaining one-third. The deal raises Olivetti's stake in Omnitel Pronto from 26.6 percent to around 30 percent, while Mannesmann's share climbs to 18.3 percent and Bell Atlantic's increases to 19.7 percent. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Three Groups Bid for Italy's Third Cell Phone License Reuters (04/15/98) -- Three groups filed applications for Italy's third mobile phone license before the Wednesday morning deadline, according to a government source. The groups were Picienne, a group headed by Mediaset and British Telecommunications; Wind, involving Italian utility Enel, Deutsche Telekom, and France Telecom; and an unnamed consortium that includes BCE's Bell Canada International, Hong Kong-based Distacom, and Italy's state highway operator Autostrade. The government is expected to reveal the winner by May 31, and it may offer a fourth license by the end of the year. There are currently two operators in the Italian market: Telecom Italia Mobile and Omnitel. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| China Telecom (Hong Kong) Poised for Cellular Buy Financial Times (04/15/98) P. 19; Lucas, Louise -- China Telecom (Hong Kong)--the listed division of China's dominant telecommunications carrier--is about to buy a cellular system in Jiangsu, one of the largest cellular networks in mainland China. The deal needs regulatory and government approval. The company, which started trading in New York and Hong Kong last October, currently operates two cellular networks in Guangdong and Zhejiang provinces. The systems had a combined total of 3.4 million subscribers at the end of 1997, a rise of 67 percent over the year before. China Telecom saw larger growth in Zhejiang, where its subscriber base climbed 90 percent. Jiangsu is China's third largest cellular market, with 880,000 subscribers, but it holds great potential as its penetration rate is a mere 1.2 percent, one-third the level in Guangdong province. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Britain's House of Lords Makes Pagers Available to Peers Sunday Times Online (04/14/98); "Lords Go A'Bleeping Into World of High Technology;" Landale, James -- Britain's House of Lord's has decided to make pagers available to peers in an effort to keep them up to date with their messages. Currently, peers receive typed messages, which are circulated by doorkeepers, who search for the peers in the chamber or bars. Roughly 20 peers have applied for pagers, which are being leased from Motorola, with money for the fees coming from existing Lords funds. Use of the pagers during House debates will not be permitted. A proposal to make mobile phones available to peers was soundly rejected. |
| WinStar Launches Fixed Wireless Multipoint Metropolitan Area Network in Washington, D.C. NEW YORK, April 13, 1998 - WinStar Communications Inc., announced today that it has activated a full-duplex ATM-based, point-to-multipoint (PMP) broadband, fixed wireless network carrying voice, data and video services in Washington, D.C. The network incorporates two hub sites, expanding to three shortly, and is providing high-speed telecommunications network services over multiple sectors to four end-user buildings. Traffic is being routed through an ATM over-the-air interface and integrated with WinStar's ATM metropolitan area backbone network and its Class 5 local switched network. According to the company, WinStar's Washington, D.C. network is demonstrating all the features of a fully networked PMP infrastructure, including bi-directional communications on a bandwidth-on-demand basis. "Our PMP network carries with it very significant reductions in capital costs enabling WinStar to extend our network to many more customers, expanding our addressable market to include those customers located in buildings as small as 20,000 square feet, and some portion of the residential market. The combination of the reduced cost and the relative ease of installation will allow the integration of voice, data and video communications services onto one network allowing an affordable, high speed alternative to the higher cost, legacy system of the existing monopoly carriers," said William J. Rouhana, Chairman and CEO of WinStar. "This confirms our ability to initially deploy our multipoint network in the second half of 1998, and moves us toward full national implementation of this network over the course of 1999 and beyond." Financial community contact: Frank Jepson, SVP, Capital Market Relations, 212/584-4021. Press contact: Beth-Ellen Keyes, 212/584-4098. *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news!*** Visit the Wireless Apps Microsite for the latest mobile data products and services! |
| Flaw Is Found in Digital Wireless Phone System Wall Street Journal (04/13/98) P. A3; "Flaw Is Found in Digital Phone System That May Let Hackers Get Free Service" Sandberg, Jared -- Computer security engineers say they have discovered a weakness in GSM, the most widely used digital cellular phone technology in the world. Some are worried that the flaw could eventually be exploited to enable hackers to get free service by pretending to be legitimate subscribers. A software developer and two graduate students say they can obtain important security information from GSM cellular phones. Before the revelation, GSM technology was though to be essentially invulnerable to tampering. The security information is held in a "subscriber identification module," or SIM card, a device similar to a credit card that is plugged into digital cellular phones and tells the network the identity of the user. The engineers claim they can copy the card and load its information onto a computer or handheld device. Connecting the computer to a phone makes the network believe that it is dealing with a legitimate user. Still, some industry observers do not think that the flaw will have a major impact. The three experts have yet to figure out how to capture the information from the airwaves, as can be done with analog cellular phones. GSM fraud would require hackers to have an SIM card in their possession, according to the engineers. *** Visit the Wireless Fraud Microsite for everything you need to know about wireless fraud! *** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Cryptographers Announce Break in Authentication Encryption for GSM Phones WASHINGTON, D.C., April 13, 1998 - A software developer and two graduate students announced April 11 in San Francisco that they have been able to extract encrypted information from the "smart cards" used in GSM phones. The Cellular Telecommunications Industry Association makes the following points about this announcement:
*** Visit the Wall Street Watch for the latest stock quotes, wireless financial data, and news! |
| Quick Wireless LANs Aid Disaster Efforts Communications News (04/98) Vol. 35, No. 4, P. 91 -- The American Red Cross Disaster Service often needs to quickly establish locations for storing food, supplies, and equipment for disaster victims. These operations often face difficult conditions, such as storms, power outages, and floods that create logistical nightmares. The agency recently decided to drop its paper-based inventory system for a automated solution. The Red Cross was looking for a mobile, dependable system that used hardware that could operate for six to eight hours on batteries in the event of a power outage. So the organization opted for a system of handheld wireless notebooks PCs for its staff and volunteers. The Proxim wireless network monitors a variety of goods, everything from food and water to cell phones and fax machines. It also handles warehouse data and sends data to a central logistics database. Richard Hoffman, a systems programmer with the Red Cross, call adding a notebook to the network "a fairly simple matter," and he says future upgrades will be "inexpensive and easy." *** Visit the Wireless Apps Microsite for the latest mobile data products and services! |