Omnipoint Uses Wireless Technology for BMW's 'The Ultimate Driving Experience(TM)'
18 August 1998
Omnipoint Connects BMW of North America with Turnkey Wireless Solution for 'The Ultimate Driving Experience(TM)'CEDAR KNOLLS, N.J., Aug. 18 -- These days, many businesses are looking for wireless solutions that go beyond voice connectivity. Through the use of Global System for Mobile communications (GSM) technology, Omnipoint Communications has the ability to offer both businesses and individuals digital voice and data solutions that are tailored to their needs. Omnipoint recently helped BMW of North America, Inc. solve its voice and data communications needs during a premier event: Background The Ultimate Driving Experience(TM) is a major event designed to introduce BMW's new 3 series. BMW prospects and owners are invited to experience the new 3 series on an Autocross course with professional drivers to learn advanced driving techniques. This experience gives participants hands-on driving instruction in a safe, fun and controlled environment. In addition, participants are encouraged to take advantage of the full line of BMWs available to test drive to raise funds for the Susan G. Komen Breast Cancer Foundation. BMW donates one dollar to the foundation for every test mile driven. The program also is dedicated to educating teenage drivers on weekends via a four-hour driving instruction course. The Challenge The first New York Metro event was held recently in the parking lot of the Meadowlands Sports Complex in East Rutherford, N.J. Because the event pavilion (a large, multi-roomed tent) includes computers that allow visitors to browse the BMW Website, event coordinators needed a way to connect the computers with an Internet service provider. In addition, because participants can purchase such BMW-branded accessories as shirts, hats, and key rings, BMW needed wireless access to a credit card verification service. The pavilion's location, however, was in the middle of the Sports Complex's massive parking lot and far away from required telephone and data lines. BMW's event staff also had no way to directly verify credit cards for purchases. The Solution Needing a secure and reliable wireless method to communicate with the outside world, BMW approached Omnipoint to provide a turnkey solution to their dilemma. Omnipoint supplied BMW with handsets, data cards, service and technical support for digital wireless connectivity to the Internet. In addition, BMW event staff used Omnipoint handsets as "desk phones" in the pavilion's offices. For the point of sale operations, Omnipoint tasked its Internet website design firm -- Proteus, Inc., of Washington, D.C. -- to develop a credit card validation and order processing solution, as well as an order entry system to record data from customers' transactions. The entire solution was Internet driven and used RSA encryption for security. In addition, the transactions were connected via Omnipoint's own GSM-based wireless service with unparalleled encrypted security not available with traditional cellular. "Omnipoint came up with an innovative and reliable solution for our Meadowlands predicament," said Holly Babich, Consumer Events Manager for BMW of North America, Inc. "Thanks in part to Omnipoint's responsiveness with a capable GSM wireless data and voice network, the event was a huge success." George Schmitt, President of Omnipoint Communications, added, "The data solution that we provided BMW is just one example of the power of GSM technology. Currently, GSM is the only wireless technology with integrated digital voice and data capabilities." About Omnipoint Omnipoint Communications is a subsidiary of Omnipoint Corporation. Founded in 1987, the parent company is a leader in commercializing PCS. Omnipoint currently provides advanced wireless communications services in much of New York, New Jersey, Connecticut, eastern Pennsylvania, Delaware, Massachusetts, New Hampshire, Rhode Island and southern Florida; it intends to provide those services in additional areas. The company also develops technology and equipment for PCS and wireless local loop. The company's stock is traded on the NASDAQ National Market. Its trading symbol is OMPT. Except for historical information contained herein, the matters discussed and the statements made in this release concerning Omnipoint's future prospects are "forward-looking statements" under the Federal securities laws that involve risks and uncertainties. There can be no assurance that future results will be achieved, and actual results could differ materially from the forecast and estimates. Important factors that could cause actual results to differ materially include, but are not limited to, Omnipoint's limited operating history, including a history of losses and the uncertainty of future operating results, dependence upon cash flow from its subsidiaries, high leverage, debt service requirements and restrictive covenants related to its outstanding Senior Notes, the emerging market for PCS service, the continued buildout of Omnipoint PCS markets, significant capital requirements, and its dependence upon key employees. Omnipoint's future results may be impacted by other risk factors listed in its Registration Statement filed on Form S-3 on June 30, 1998, and other factors listed from time to time in its SEC reports, including, but not limited to, the report on Form 10-K for the year ended December 31, 1997.