3Com and Gigamedia Offer High-speed Internet Service to More Than Three Million Cable Subscribers in Taiwan.

SANTA CLARA, Calif.--(BUSINESS WIRE)--Feb. 8, 1999--Following a successful trial, 3Com Corporation (Nasdaq: COMS) today announced with Hoshin Gigamedia Center, Inc. (Gigamedia) a wide-scale deployment of high-speed Internet access service throughout Taiwan using cable modems and digital broadband infrastructure.

Gigamedia has been evaluating the equipment and service in the Taoyuan region of Taiwan since September 1998, and has selected 3Com(R) to provide the ultra-fast cable modems and cable system technology, as well as utilizing retail and other distribution channels.

As an Internet service provider for and a subsidiary of the Koos Group in Taiwan, Gigamedia will offer 3Com cable modems with its high-speed Internet service to approximately 60 percent of cable households in Taiwan representing approximately 3.4 million subscribers.

Gigamedia has installed 3Com Total Control Cable Modem Termination Systems (CMTS) to all four of Koos Group's cable plants and offers 3Com Cable Modem VSP internal modems to enable Internet connections as much as 100 times faster than conventional dial-up modems. Gigamedia plans to offer additional modem types in deployments later this year.

"3Com's cable broadband network solutions offer the most comprehensive server and client product line, which provides significant value to both service providers and consumers alike," said Yichun Chang, vice president of Hoshin Gigamedia Center. "3Com also has a firm commitment to the development of cable technology. We are confident that by combining our technology and market strength, we will be able to improve quality of service and deliver the best possible Internet online experience."

Mr. Chang continued, "A Gallup survey of customer satisfaction among Gigamedia subscribers and 3Com cable modem users after the Taoyuan trial reported an unprecedented 95.7 percent satisfaction rate. We received an immediate and very enthusiastic response from Internet users, and we're pleased to offer this service to even more residents of Taiwan."

"We are very pleased to work with Gigamedia in introducing this service to the Taiwanese market and supporting additional broadband services and markets over the forthcoming years," said Levent Gun, vice president and general manager of 3Com's Cable Access group. "This is a significant relationship for 3Com in the Asia-Pacific region, and we plan to leverage all our technological and channel experience to make Koos Group deployments as successful as possible."

Residents of Taipei City, Chungho City and Yungho City will now be able to enjoy the same added value service as the Taoyuan residents simply by contacting any of the cable TV operators associated with Hoshin in the Taipei area. Hoshin-affiliated operators offering the 3Com-based service include Chang Te, Lung Ch'ih, Wan Hsiang, Pao Fu, Lien Wei, Shuang Hsing, Hsin Shih Po and others.

3Com Modems Easy to Install and Use

3Com's Cable Access system and modems enable data to be sent from the cable operator's plant to a home or business at up to 38 Mbps. Data can also be sent "upstream" from the consumer to the cable plant at 33.6 Kbps, using either the consumer's existing analog modem or the on-board V.90 technology modem. 3Com's bi-directional or two-way modems provide a return path up to 10Mbps.

These internal modem cards support high-speed data over cable television networks. The "plug-and-play" modems are as simple to install as a standard analog modem, requiring only a screwdriver. After opening the computer cover and slipping the modem into an available ISA or PCI bus of a computer, the cable modem can be ready to use in less than 15 minutes by a novice or approximately five minutes by a network professional.

All 3Com cable equipment is based on the Data Over Cable Service Interface Specification (DOCSIS), a multi-operator industry specification effort. DOCSIS-based modems allow for interoperability among cable systems and assurance of competitive, quality product in retail and other consumer channels.

About Gigamedia

Hoshin Gigamedia Center, Inc. (Gigamedia) was established in 1997 to provide a revolutionary broadband Internet service via HFC (hybrid-fiber coaxial) network to Taiwan consumers, business and Internet Content Providers (ICPs). Gigamedia's mission is to provide the next generation of supermedia vehicle that completely revolutionizes the way people interact with information and with each others. Hoshin owns 26 cable operators in Taiwan and is also a member of the Top 3 Enterprise Koos Group. Gigamedia is also the first company to provide a true broadband multi-channels web site. Gigamedia's content partners include MSNBC, C/NET, ZDNet, FTV, Sony, etc. For further information, please refer to http://www.giga.net.tw/marketing/

About 3Com

With more than 200 million customers worldwide, 3Com Corporation connects more people to information in more ways than any other networking company. 3Com delivers innovative information access products and network system solutions to large, medium and small enterprises; carriers and network service providers; PC OEMs; and consumers. 3Com -- More connected.

For further information, visit 3Com's World Wide Web site at http://www.3com.com or the press site at http://www.3com.com/pressbox.

3Com and U.S. Robotics are registered trademarks and More connected and Total Control are trademarks of 3Com Corporation. All other company and product names may be the trademarks of the respective companies with which they are associated.