Novatel Wireless Announces Preliminary Q4 Results

Novatel Wireless Announces Preliminary Q4 Results

Q4 2003 Revenues Expected to Increase over 20%

SAN DIEGO, CA.--January 5, 2004--Novatel Wireless, Inc. (Nasdaq: NVTL), a leading provider of wireless data communications access solutions, today announced that it expects revenue for the fourth quarter of 2003 to be between $9.6 and $9.8 million, consistent with previous guidance. This would represent a 20% sequential increase over $8.1 million reported in the immediately preceding third quarter. Revenue growth was driven primarily by the introduction of the Company's next generation UMTS products, which began shipping late in December. The Company plans to announce full financial results on February 10, 2004.

Novatel Wireless also today announced that Melvin Flowers, the Company's Chief Financial Officer, is leaving the Company to join Microsoft Corporation. Dan Halvorson, the Company's current Vice President of Finance and Treasurer has been appointed Acting CFO. Mr. Halvorson has been with Novatel Wireless since April 2000.

"We are encouraged by the strong increase in fourth quarter sales, especially considering that revenues were partially constrained by our ability to ship UMTS orders at the end of the quarter," said Peter Leparulo, Novatel Wireless' Chief Executive Officer. "I also want to thank Melvin for his many contributions to Novatel Wireless, and wish him well in his future endeavors."

Mr. Flowers added, "At this juncture in my career, I felt it was time for me to pursue a new set of opportunities, but I am very pleased to leave a rapidly strengthening Novatel Wireless that is building a strong foundation for the future."

ABOUT NOVATEL WIRELESS, INC.

Novatel Wireless, Inc. is a global leader in the design and development of wireless modems, software and custom engineering for use in mobile computing devices. Novatel Wireless MerlinTM PC Card and ExpediteTM Embedded Modems enable high-speed wireless access to personal, corporate and public information via portable computers, handheld devices and vertical market applications. The company delivers innovative 2.5G and 3G solutions to operators, distributors and vertical markets worldwide. Headquartered in San Diego, California, Novatel Wireless is listed on Nasdaq: NVTL. For more information, visit www.novatelwireless.com

Note to Editors: The Novatel Wireless logo, Merlin, and Expedite are trademarks of Novatel Wireless, Inc.. All other brands, products and company names mentioned herein are trademarks of their respective holders. This release may contain forward-looking statements, which are made pursuant to the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements involve risks and uncertainties. A number of important factors could cause actual results to differ materially from those in the forward-looking statements. These factors include risks relating to technological changes, continued acceptance of Novatel Wireless' products and dependence on intellectual property rights. These factors, as well as other factors that could cause actual results to differ materially, are discussed in more detail in Novatel Wireless' filings with the United States Securities and Exchange Commission and other regulatory agencies.

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