3Com Makes Strategic Investment in Zayante; Investment in IEEE 1394 Technology Leader Paves Way For Use Of Technology Standard In Future 3Com Home Networking Solutions.

Business Editors/High-Tech Writers

SANTA CLARA, Calif.--(BUSINESS WIRE)--Aug. 7, 2000

3Com Corporation (Nasdaq:COMS) today announced it has taken an undisclosed equity stake in Zayante, Inc., the industry leader in IEEE 1394 High Speed Serial Bus technology. As part of the investment, the two companies plan to collaborate on the deployment of the IEEE 1394 technology in future 3Com(R) high-speed home networking solutions, making it easier for consumers to connect multiple devices that share audio, video and Internet data.

The IEEE 1394 technology, which enables consumers to connect all the intelligent devices in their homes, is gaining widespread acceptance in consumer electronics, PCs, industrial automation and automotive electronics. Several major companies, including Microsoft, Sony, Matsushita, Philips and Apple, have incorporated this high-speed serial bus technology into their products.

"3Com is pioneering radically simple home networking solutions for the digital home that let families conveniently enjoy the lifestyle benefits of the Internet," said Julie Shimer, vice president and general manager of 3Com's residential connectivity group. "IEEE 1394 technology is quickly becoming the de facto standard for multimedia networking in the home. We look forward to working with Zayante to include IEEE 1394 technology in next-generation 3Com home networking solutions."

In addition to being a leading networking company, 3Com is focused on developing solutions for five high-growth technology areas: wireless, broadband access, home networking, LAN telephony and Voice over Internet Protocol. Central to 3Com's strategy are investments in companies like Zayante that are leaders in these high-growth technology segments. 3Com plans to leverage the investment in Zayante to strengthen future 3Com home networking solutions and give consumers access to IEEE 1394 technology, making these solutions even more simple, reliable and easy to use.

"The IEEE 1394 technology is enabling a new level of consumer friendly networking that truly converges the PC and consumer electronics devices," said Prashant Kanhere, Zayante's president. "The 1394 technology has now matured to the point where it is being deployed in a variety of exciting applications by our customers. We are very pleased to be collaborating with 3Com, as the combination of 3Com's extensive networking product experience and leadership in the home networking space with Zayante's proven 1394 silicon and software technology will enable the two companies to provide consumers with leading edge high-speed digital video networks."

About 3Com's Digital Home

3Com's vision of a digital home is one that connects family members to each other and important information -- both within and outside the home. Based on real-life consumer needs for Internet connectivity, the digital home parlays 3Com's acknowledged expertise in networking computers and enriches consumers' lifestyles with simple, reliable and innovative products. Encompassing a wide variety of available, HomeConnect(TM) brand products, 3Com is the only company that provides every element required by digital home members -- such as cable and DSL modems, home networking products and PC video cameras.

About IEEE 1394 technology

The IEEE 1394 standard specifies a high-performance, easy-to-use and affordable serial bus that enables consumers to interconnect all the intelligent devices in their homes. For instance, with previous generation technology the old-style home theater system was put together using a tangle of different cables. In a system using 1394, each device is connected to one or more other devices using a single cable for each connection. This bi-directional connection can carry high-quality digital audio/video and Internet data all at the same time. The 1995 version of the standard specifies 400Mb/s (mega bits per second) transmission rate at a distance of 4.5 meters per hop. The upcoming 1394b version specifies distances up to 100m over UTP and fiber connections and speeds up to 3.2 Gbits/sec -- ideal for the future-proof home network.

About Zayante, Inc.

Zayante has been providing the computing and consumer electronics industry with leading edge 1394 solutions since 1996. 1394 is Zayante's only focus and its team consists of some of the best 1394 software and silicon designers. Zayante's products include PHY and Link silicon designs (IP) as well as a complete software stack covering all the major 1394 protocols and HAVi. Its complete modular architectural approach together with its unrivaled 1394 networking technology expertise puts Zayante's products in a class of their own. More information is available at http://www.zayante.com.

About 3Com Corporation

3Com simplifies how people connect to information and services through easy-to-use, connectivity products and solutions for consumers and commercial organizations. The company also provides access infrastructures and IP services platforms for network service providers. For further information, visit www.3com.com or the press site at www.3com.com/pressbox.

Note to Editors: 3Com is a registered trademark and HomeConnect is a trademark of 3Com Corporation. All other brand and product names may be trademarks of the respective companies with which they are associated.