Scalado and Teleca announce strategic partnership for advanced mobile imaging solutions

Lund, Sweden – Scalado AB, a Swedish software technology and application development company focusing on mobile imaging for the wireless industry announces today and Teleca, the world leading mobile devices system integrator and developer, today jointly announce the implementation of their strategic partnership.

This partnership enables Teleca to develop and implement, advanced Imaging applications based on the Scalado CAPS technology. Obigo, a Teleca company, has, since 2004, successfully been selling the Obigo Imager, which is based on core technology from Scalado. This extended partnership enables Teleca and Scalado to further grow business with existing and new customers on a global market.

The partnership has already realized a multi million SEK project for one of the top five handset brands in the world. The project was successfully completed at the end of 2005 and has already lead to additional significant opportunities with other leading manufacturers.

Scalado CAPS 3 is a patented software-based image-processing engine for the high-performance multimegapixel image manipulation required to develop advanced imaging applications with significantly reduced RAM requirements suitable for constrained devices such as mobile phones.

Teleca provides global system integration services through its imaging competence centres in the United Kingdom, Sweden and Korea, and wide-ranging support is available for integrating the Scalado products with customer handsets. Today Teleca has a large customer base throughout Asia, Europe and the United States and is represented in more than 300 million handsets.

Stefan Fleron, Senior Vice President Teleca Mobile Devices says; “The partnership with Scalado enables Teleca to develop and deliver advanced imaging applications for our customers. We’ve already successfully completed one project, and this success has led to new opportunities in the global market. We foresee a growing business in the imaging area together with Scalado,”

“Teleca is a dominant force in the development of mobile devices, and we’re looking forward to pushing the boundaries of imaging technology with them. Teleca’s global presence enables Scalado, as a niche imaging software technology innovator, to increase its market penetration in the imaging solutions sector. Scalado enables high-performance image processing for any-sized images but with very low memory requirements”, says Mats Jacobson, president and CEO of Scalado.

Teleca and Scalado will be present at the 3GSM World Congress in Barcelona on 13-16 February. Welcome to Hall 8 stand B31 (Teleca) and Hall 2 stand G26/G27 (Scalado).

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About Teleca
Teleca is an international telecom and IT services company focused on R&D that develops and integrates advanced software and information technology solutions. With in-depth expertise in the latest technology and profound industrial knowledge, Teleca helps technology- and software-intensive customers worldwide to strengthen their market positions and shorten their times to market. The company has more than 3,000 employees and operations in 16 countries in Asia, Europe and North America. Teleca is quoted on the Attract40 list of the Stockholm Stock Exchange. For more information, please visit www.teleca.com

About Obigo®
Obigo® is a world-leading software application system that includes products for browsing, messaging, content management, media playback and digital rights management. Designed for mobile multimedia devices, Obigo is found in more than 300 million mobile phones worldwide and can be integrated on any OS, hardware or network. The architecture enables simple integration of further applications. Obigo® is owned by Obigo AB – a Teleca company. For more information, please visit www.obigo.com

For more information, please contact:

Teleca Press Contact

Stefan Fleron
Senior VP Sales & Marketing
Tel: +46-705 18 56 63
E-mail: Stefan.fleron@tss.teleca.se

Johannes Rudbeck
Investor Relations Manager
Tel: +46-705 82 56 56
E-mail: Johannes.rudbeck@teleca.com