2Wire Announces Distribution Agreement with InternetConnect.

Business Editors and High Tech Writers

SAN JOSE, Calif.--(BUSINESS WIRE)--Oct. 10, 2000

Companies Team Up to Deliver 2Wire Broadband Products and

InternetConnect Broadband Service to Small Office/Home Office and

Corporate Telecommuter Customers

2Wire(TM), Inc. (www.2Wire.com), the leading provider of residential gateway products, today announced a distribution agreement with InternetConnect, a leading provider of broadband networking solutions for businesses, for the full line of 2Wire broadband products and InternetConnect broadband services.

Under this agreement, InternetConnect will offer the award-winning 2Wire HomePortal(TM) 1500 and HomePortal 100 residential gateways, 2Wire DSL phoneline filters and the new 2Wire PC Port USB-to-HomePNA adapter to small office/home office (SOHO) and corporate telecommuter customers throughout its more than 35 metropolitan service areas. This agreement also enables customers in InternetConnect service areas to order InternetConnect DSL service directly through 2Wire's web site at www.2Wire.com.

"We are excited about working with 2Wire to deliver affordable networking products that enable the rapidly growing number of telecommuters to experience the full benefits of a secure broadband connection," said John W. Combs, CEO of InternetConnect. "The combination of InternetConnect's affordable business-quality broadband service and 2Wire's innovative, user-friendly products brings small office and home office workers the kinds of business communications solutions they need."

"With its privately-owned and managed nationwide ATM backbone, InternetConnect provides secure, reliable broadband service, enabling its customers to capitalize on the efficiencies created by high-speed Internet access," said Michael Hickerson, vice president of sales for 2Wire. "We're pleased to partner with InternetConnect to provide corporate telecommuters with an affordable and reliable end-to-end broadband solution."

Leveraging the power of a single broadband connection, 2Wire's HomePortal enables users to securely share high-speed Internet access with all of the PCs and Internet appliances throughout their home using existing phone lines. The HomePortal also supports Virtual Private Network (VPN) connections to the user's corporate network, providing secure transmission of data. Easily installed and managed, the HomePortal includes a browser-based user console which provides users with a familiar interface for this user-friendly home networking solution.

2Wire's HomePortal enables feature-rich Internet, telephony, and other services to be delivered throughout the home, all through a single user-friendly, elegant device. The HomePortal combines several in-home networking architectures including Ethernet, HomePNA, USB and wireless to manage an integrated data, voice and entertainment network.

2Wire's HomePortal 1500 offers a complete, simple and secure broadband and home networking solution for new DSL customers, incorporating a DSL modem and comprehensive home networking capabilities including a network hub, router, business-grade firewall and value-added software.

Designed to work with a customer's existing DSL or cable modem, 2Wire's HomePortal 100 is designed enhance existing broadband service by enabling the creation of an effective home network that can be set up and managed easily and affordably.

The latest addition to 2Wire's filters and adapters product line, 2Wire's new PC Port is a high-speed, USB-based adapter that provides a simple connection to network multiple PCs using a home's existing wiring. PC Port works with the HomePortal to provide consumers with a complete, easy solution for home networking.

About InternetConnect

InternetConnect is a leading broadband networking solutions provider for businesses. The company's flagship product, VPNplus, enables small and medium-sized business locations with a secure, private broadband network between and their branch offices, remote locations and telecommuters across the country. InternetConnect owns and manages a nationwide data communications network with an ATM backbone that facilitates reliable, high-speed services such as VPNplus, videoconferencing and applications hosting. The company also provides businesses with a suite of access products including DSL and frame relay, and related value-added services. Based in Torrance, California, InternetConnect has more than 300 employees. For more information or to order our services, visit www.internetconnect.net.

About 2Wire

2Wire, Inc. delivers a full suite of broadband products and services to the residential marketplace. 2Wire HomePortal products are the first intelligent residential gateways to integrate the wealth of options available through the Internet and create a complete home data, voice, and entertainment network. 2Wire's web site (www.2Wire.com) offers comprehensive information on DSL, the future of broadband services, and home networking, and the most complete and accurate DSL look-up service in the United States.

2Wire was recently awarded the Comet Award by Communication Systems Design magazine as one of the top up-and-coming communication technology companies, and was named as one of the Hot 100 Private Companies by Upside magazine in June 2000. The 2Wire HomePortal series was recognized with three significant honors at CES (Consumer Electronics Show) in Las Vegas, including Best of Show.

2Wire, the 2Wire logo and HomePortal are trademarks of 2Wire, Inc.(c) 2000 2Wire, Inc. All rights reserved. All other trademarks are property of their respective owners.