Motorola Solutions Israel Ltd.

Motorola Solutions Israel Ltd., was established in 1964 as a wholly owned subsidiary of Motorola Inc., a US-based multinational electronics corporation with a 2006 sales turnover of $42.9 billion. Motorola provides integrated communications products and systems, mobile and stationary, wireless and line-based, for all market sectors – government, institutional, business and home.

Motorola Solutions Israel is one of Israel's leading telecommunication companies and has enjoyed continuous financial growth. In 2006, the sales turnover was $922,841,000 million, including exports of383,030,000$ million.

The company comprises several business groups and subsidiaries that are actively involved in developing and manufacturing its parent company's communication components, products, systems and networks, as well as marketing, selling and servicing all Motorola products.

BUSINESS GROUPS

Mobile Devices
This division markets and supports a wide variety of cellular telephones and accessories produced by Motorola, the harbinger of the cellular revolution. Motorola has developed various lines of mobile phones and accessories for use in vehicles, offices, homes and outdoors. All of Motorola's cellular products are based on the most advanced technologies, enabling many innovative applications: high-speed data communication; fast wireless e-mail and Internet access through the cellular telephone; synchronization of computer and cellular telephone; and voice identification capabilities for operating mobile devices.

Networks and Enterprise
In this area, Motorola Israel is engaged in development, manufacturing and distribution.

The Design Center
This center designs and develops a large variety of products for Motorola's worldwide markets. It is a key contributor to many prestigious global projects such as: wireless data terminals for vehicles; portable terminals for the worldwide courier industry (Airborne, DHL, FedEx and UPS); SCADA systems for water and electricity monitoring and control, irrigation, meter reading, etc.; network fault monitoring systems; TETRA-standard systems for public safety; cellular modems for GSM, CDMA 1X, TDMA, iDEN and the latest 3G technologies. In addition, the center develops WiFi and Wimax data networks for the North American public safety market. The center employs over 800 engineers and computer scientists, including its dedicated R&D team. The Global Software Group specializes in developing systems for managing communications networks.

The Manufacturing Operation
Motorola South Israel Ltd. (located in Arad) is MIL's principal production facility, and comprises an integral part of Motorola, Inc. The facility produces wireless communication devices, modems and data communication products, cell phones, and command and control systems. The site applies advanced automated technologies in its manufacturing and test processes, and maintains the highest (Six-Sigma) level of quality. The company's data terminals serve the police and security forces, as well as the leading courier companies, and are considered state-of-the-art. In addition to high-quality manufacturing, the facility's strength derives from its high-standard engineering capabilities, advanced supply chain and innovative logistics systems.

Distribution Operations
• Three operational divisions: Communications Systems Operation (CSO), Service Operation and Next-to-Core Solutions Division (N2CS)
• Three subsidiaries in Israel: MIRS Communications, Beeper Communications Israel and Taldor Communications
• Two subsidiaries in Europe: Uni-Net in Poland and SetkomNet in Turkey
• Four business units: Network Services Applications (NSA), Defense Excellence Center, Radio Network Division and Motorola Ventures.

Operational Divisions
Communication Systems Operation (CSO) is responsible for systems engineering, marketing, sales and project management in Israel and 35 countries in Central Africa and Southeast Europe. Its customer list includes military, police forces and government agencies seeking mission critical solutions, as well as infrastructure, transportation and construction businesses. Among its prominent projects in recent years are: "Mountain Rose" – secure TETRA-based network for the Israel Defense Forces; a wireless mobile data system for the Israel Police; TETRA systems in Serbia Greece, Romania, Bulgaria, Tanzania and Nigeria; a biometric identification system in Serbia, and water and electricity supply management systems in Israel and other countries.

Service Operation provides complete maintenance and installation services to all the CSO customers, as well as to MIRS and Beeper through 17 service and sales centers throughout Israel, offering two-way radios, cellular devices and a range of accessories. In addition, the central lab provides repair services for all Motorola-made subscriber units, for all of the cellular operators in Israel.

Next-to-Core Solutions (N2CS) provides its customers with customized solutions complementary to Motorola's standard platforms. The division has global business responsibility for its products – in the fields of marketing, development, manufacturing and service. The division's main products are fixed car installation cellular telephones ("Spirit"); cellular OEM modules in GSM/GPRS and CDMA technologies for data and voice communications (applications for these products are common in the automotive industry, and wherever data is required to be transmitted from a machine over a cellular network); location-based systems employing GPS and GSM/GPRS technology for applications such as fleet management; and a range of military products. The division has unique and worldwide expertise in these products.

Networks
This is the business, engineering and logistics arm for providing Motorola network infrastructure solutions for the local market, Turkey and other countries in central Asia. Motorola is a key provider of 1X CDMA, GSM, GPRS, EDGE DO, UMTS/HSDPA and WIMAX wireless communication technologies.

Motorola's Networks business is leading the industry with innovative solutions that include Softswitch, Push-To-Talk over Cellular, and Global Applications Management Architecture (GAMA). These solutions help Motorola's customers implement their commercial strategies and manage the uncertainty and risk of today's telecommunications market as they migrate to new-generation technologies (IMS – IP Multimedia Subsystem). The division has decades of experience in implementing end-to-end solutions that include system design, deployment and lifetime support.

The Networks Division's Design Center in Tel Aviv provided software and hardware solutions for the division's customers throughout the world. The center is now focusing on Motorola's 3G CDMA 2000 product line and CDMA projects for packet data speeds of 144 kbps; RAN system resource allocations (voice and data); sophisticated test equipment for the CDMA 2000 sites; and IP development tools. The UNO, the flagship product of Motorola's Operational Support Systems Group, is installed in over 300 CDMA networks around the world.

SUBSIDIARIES

MIRS Communications Ltd.
MIRS Communications Ltd. was founded in 1998 and became a wholly owned subsidiary of Motorola Israel in late 2005. MIRS specialize in integrated wireless communications solutions for the business market, governmental institutions, the IDF, and public and private organizations. The MIRS infrastructure is based on iDEN (Integrated Digital Enhanced Network) technology developed by Motorola. MIRS, which now serves over 400,000 subscribers in Israel, was the first in the cellular market to offer WAP services. In 2002, MIRS was the first to introduce color displays and, a year later, was the first to offer advanced GPS capabilities. The company has since developed advanced and market-leading LBS (location-based service) applications such as vocal guidance.

Beeper Communications Israel Ltd.
Beeper Communications Israel Ltd. was founded in 1988 by Motorola Israel and Beeper-Pagecall. Apart from being the leading public paging service provider, Beeper is one of Israel's largest call center companies, providing a wide variety of outsourced services including telemarketing, telesales, information services and customer services. Recently, the company introduced a voice-to-SMS service that enables busy cellular users to receive voice mail as text messages on their mobile phone screen.

Taldor Communications Ltd.
Formerly Motorola Israel Information Systems Ltd. (MIIS), is an Israeli market leader in data, voice and video communications, and also operates as a system house, providing complete, custom-designed solutions in these fields. The company has a wide network of business connections and partnerships with the world's leading communications manufacturers and is the Israeli representative of communications and information security leaders including Motorola, Check Point, Nortel Networks, Cisco Systems and others. Taldor acquired the data communication operation of LeadCom Ltd. in January 2005.

Trunked Mobile Radio Networks
Motorola, Inc.'s subsidiaries in Europe: Uni-Net Sp. z o.o. in Poland and SetkomNet A.S. in Turkey are joint ventures between Motorola, Inc. (equity managed by Motorola Israel) and local in-country partners, operating Trunked Mobile Radio Networks providing services to thousands of users.

BUSINESS UNITS

Network Services Applications (NSA)
Network Services Applications (NSA) specializes in the development and implementation of billing solutions, and management of wireless services and cellular telephony. The unit's flagship product, MiBAS (Motorola Integrated Billing and Administration System) is used by more than 20 telecom operators throughout the world. The MiBAS software suite provides a full line of applications to support operations of iDEN, CDMA, GSM and TETRA networks, addressing billing requirements for push-to-talk, short message service (SMS), packet data, pre-paid and post paid services.

Defense Excellence Center
Defense Excellence Center was established to help provide communications solutions for the defense market: encrypted cellular systems based on TETRA technology, broadband systems, systems enabling wireless communication and joint operation of subscribers on different radio networks (interoperability VoIP).

Radio Network Division (RND)
Radio Network Division (RND) designed the MOTOBRIDGE system, which is now in use in several U.S. states. This group is among the world's leading interoperability solutions providers and also develops remote monitoring systems for wireless base stations, used by communication providers worldwide.

Motorola Ventures (MV)
Motorola Ventures (MV) is Motorola's global venture capital arm. It actively invests in early-stage companies that have strategic value for Motorola in an effort to accelerate access to new technologies, new markets, and new talents.

Embedded Communications Computing (ECC)
ECC Israel is the business arm of Motorola's worldwide ECC group, the world's leading supplier of embedded computer technology. Offering both standard and custom products, ECC has extensive experience ranging from high-volume, low-cost embedded computer boards to fully fault tolerant and HA systems for mission critical applications.