ARC Wireless Solutions, Inc. Reports 305% Increase in Revenues.

Business Editors/High Tech Writers

WHEAT RIDGE, Colo.--(BUSINESS WIRE)--April 2, 2001

ARC Wireless Solutions Inc. (OTB BB:ARCS) today announced financial results for the fiscal year ended December 31, 2000. Net sales for the fiscal year ended 2000 increased 305% to $18,481,000 as compared with $4,567,000 for 1999. The 305% increase in revenues in 2000 is primarily attributable to the acquisition of Winncom Technologies Corp. and Starworks Wireless offset by a decrease in sales at the Antennas America division.

The Company's net loss increased to $1,841,000 for the period ended December 31, 2000 from $572,000 for the prior year. The loss is primarily attributable to a significant increase in corporate overhead and other expenses of ARC Wireless Solutions, additional research and development expenses of the Antennas America division, and depreciation and amortization of $678,000 from the acquisition of Winncom Technologies Corp and Starworks Wireless Inc. As previously announced, since year-end the Company has made extensive cost reductions to its corporate overhead and certain other general and administrative expenses. These cost reductions will fully take effect in the first and second quarters of 2001 and are now anticipated to exceed $750,000 on an annualized basis.

"We have met our objective to successfully evolve into a diversified wireless provider of broadband solutions," stated Randall P. Marx, Chief Executive Officer. "With so many different forms of wireless technologies each having its own significant potential, we have developed a flexible business model that can capture and participate in a wide spectrum of wireless applications as each becomes viable to meet the growing demand for high-speed accessibility to information," Mr. Marx added.

The Company now provides a broad range of solutions to address the entire wireless market. Winncom Technologies Corp., the Company's subsidiary located in Solon, Ohio, is an industry leader in end-to-end wireless solutions that addresses and solves the technical challenges of today's fixed wireless marketplace. The Company also intends to expand into the satellite two-way market through its Starworks Wireless Inc. subsidiary located in Atlanta, Georgia. The Company's Antennas America division has completely reengineered its line of products and has effectively positioned itself to benefit from the ISM, Cellular, Bluetooth, MDS/MMDS, GPS and digital TV markets.

"The demand for a fixed wireless solution continues to grow, and Winncom is strategically and competitively able of taking advantage of this particular market demand as well as demand for other wireless technologies as they begin to develop more strongly," said Gregory Raskin, President of Winncom Technologies Corp. "Our infrastructure and products are firmly in place and our business remains strong with sales more than double the level at this time last year. Our goal is to continue to increase our revenue in 2001 by expanding our product offerings and our reseller customer base to provide reliable high speed data for ISPs, medical facilities, schools, homes and businesses."

"We will continue to look for opportunities to expand our market presence through acquisitions that further develop our presence in wireless markets as well as provide a more rapid development of our existing business. Nevertheless, our current priority is to grow internally, to take advantage of the synergies of our three existing companies, and to move as quickly as possible to a positive operating cash flow," stated Mr. Marx.

About ARC Wireless Solutions, Inc.

ARC Wireless Solutions, Inc. is a wireless technology company that is involved in marketing, distribution and servicing, as well as selective design and manufacturing, of a broad range of component and network solutions in support of wireless applications. The Company's wireless solutions are marketed through the Company's internal sales force, OEMs, numerous reseller distribution channels, retail and the Internet to support network deployment in the growing domestic and global wireless markets. ARC Wireless Solutions, Inc., together with its Antennas America Division, is headquartered in Wheat Ridge, Colorado. The Company's Winncom Technologies Corp. subsidiary is located in Solon, Ohio, and its Starworks Wireless, Inc. subsidiary, doing business as The Kit Company, is located in Atlanta, Georgia. For more information about the Company and its products, please visit our web sites at www.arcwireless.net, www.antennas.com, www.winncom.com and www.thekitcompany.com

This is not a solicitation to buy or sell securities and does not purport to be an analysis of the Company's financial position. This Release contains forward-looking statements within the meaning of the Securities Exchange Act of 1934. Although the Company believes that the expectations reflected in the forward-looking statements and assumptions upon which forward-looking statements are based are reasonable, it can give no assurance that such expectations and assumptions will prove to have been correct. See the Company's most recent Quarterly Report on Form 10-QSB and Annual Report on Form 10-KSB for additional statements concerning important factors, such as demand for products, manufacturing costs and competition, that could cause actual results to differ materially from the Company's expectations.