2004 Annual Report hompage
 

Authorized Agent
An independent distributor legally authorized by U.S. Cellular to sell its products and services.

CDMA (Code Division Multiple Access)
A wireless digital technology in which a unique code is assigned to each word in a conversation. These codes are then scrambled and sent over a wireless channel from one wireless phone to another. CDMA’s unique coding structure filters all the codes and reassembles them in the correct order so that significantly more people can carry on a separate conversation on the same frequency without causing interference or static. 1X is the next generation of CDMA technology and is available in all U.S. Cellular markets.

Cell
A geographical area, two to 20 miles, surrounding a radio antenna designated for wireless transmission.

Cell Site
An arrangement of wires and metal rods used in transmitting and receiving radio waves. In a wireless system, antennae are mounted on radio structures at cell sites. Smaller ones are mounted on automobiles as part of a mobile phone installation and directly on portable and transportable wireless phones.

Churn Rate
The percentage of customers disconnecting service each month. Overall churn represents the percentage of the total customer base that disconnects service each month. Post-pay churn represents the percentage of the customer base on post-pay service plans, including wholesale customers, that disconnects service each month. Post-pay service plans are those in which customers are billed in arrears for service, such as customers who are on contract.

Coverage
A geographic area containing the cell sites that enable a wireless phone user to make and receive calls. Each cell site has an antenna with the ability to send and receive signals. A coverage area is determined by the number and location of cell sites in the surrounding area. As new sites are added, calling areas are expanded, and/or call clarity is improved.

Digital
An advanced type of radio transmission that broadcasts voice or data intact via radio waves, which allows for greater call clarity, advanced wireless features and improved voice capacity. The telecommunications industry uses three types of digital technology: TDMA, CDMA and GSM.

easyedge(SM)
U.S. Cellular’s suite of wireless data services. easyedge consists of easyedge Phone Download Service, easyedge Picture Messaging and easyedge Wireless Modem Service.

Federal Communications Commission (FCC)
An independent federal agency of the U.S. government, authorized by the Communications Act of 1934, responsible for managing private and commercial communications spectrum and regulating communications services in the United States.

Footprint
The area in which a wireless service provider has operations or is licensed to provide service.

Frequency
A certain “size” of radio wave; the rate at which the electric and magnetic fields of a radio wave vibrate per second.

Mobile Messaging
Enables customers to send, receive and reply to short text messages from a digital phone to most other digital wireless phone users.

MMS (Multimedia Messaging Services)
The next generation of text messaging. In addition to voice and text, audio-visual content can be exchanged, which allows much richer content, including photography, voice and video clips. U.S. Cellular offers MMS as part of its easyedge brand of data services as “easyedge Picture Messaging.”

PCS (Personal Communications Service)
Originally meant to describe digital service offered at a higher frequency (1900 MHz) than wireless, it is now used as a generic term for all digital (versus analog) wireless.

Roaming
Use of a wireless phone outside the home service area, which can incur additional charges to the customer, depending on the customer’s calling plan. If a U.S. Cellular customer roams on another carrier’s network, U.S. Cellular pays a negotiated amount to the other carrier. If another carrier’s customer roams on U.S. Cellular’s network, that carrier pays U.S. Cellular a negotiated amount.

SMS (Short Messaging Service)
The generic term for text messaging. SMS enables customers to send and receive text messages to and from wireless phones.

Spectrum
Federal government designation of a range of frequencies for a category of use or uses. For example, the Federal Communications Commission allocated the 1900 MHz band for personal communication service.

Telephone Network
The system of wires, fiber-optic cables, satellites and transmission towers that transmits telephone messages from caller to receiver.

TDMA (Time Division Multiple Access)
A wireless digital technology designed to increase channel capacity by separating each wireless call’s signal into pieces and assigning each piece to a time slot that lasts a fraction of a second. Using TDMA, a single voice connection can be used to handle up to three wireless phone conversations simultaneously.

WNP (Wireless Number Portability)
A service that enables landline and wireless phone customers to keep their existing phone number when switching from one service provider to another within the same local calling area.

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