Ambient Corporation and Bechtel Telecommunications, a Division of Bechtel Corporation, Announce the Next Phase in the Implementation of Their Strategic Partnership.

Business & Technology Editors

NEW YORK--(BUSINESS WIRE)--May 22, 2001

In their second major partnership announcement in less than three months, Ambient Corporation (OTC BB:ABTG), the world leader in Powerline Telecommunications (PLT) technology, and Bechtel Telecommunications, a division of Bechtel Corporation, the world's leading engineering and construction firm, jointly announced the intensifying of their strategic alliance, through the signing of an additional technical services agreement (TSA).

Under the terms of this next phase agreement, Bechtel will provide Ambient Corp. with further assistance in formulating compliance standards, developing test criteria, and surveying utility Powerline systems. Bechtel will also assist in the engineering, development and ultimate deployment of Ambient's proprietary Powerline Telecommunications technology.

In general, Bechtel will provide standards for equipment, modems, and regulatory compliance in consultation with Ambient staff. The work has begun and is ongoing.

Mark Isaacson CEO of Ambient Corp. stated, "I am delighted at the intensification of the strategic alliance with Bechtel. Bechtel is not only the finest engineering company in the world, but they are magnificent partners. They are working with us on a wide range of issues, both technical and commercial. I envision a dynamic relationship that can only get deeper and wider. This partnership with Bechtel is of great benefit to Ambient and I am excited that we are expanding it so rapidly".

George Conniff, President of Bechtel Telecommunications, said, "We are very excited about our expanding relationship with Ambient and look forward to a long and mutually beneficial relationship in the technical support and implementation of Ambient's technology."

On March 21, 2001, Ambient Corp. and Bechtel announced a technical services agreement, and the beginning of a strategic alliance. Under the original TSA, Bechtel will provide Ambient with engineering support for field testing, construction management and support for deployment, lab facilities, plus regulatory and market assistance.

Bechtel will also support Ambient in the market delivery of Ambient's technology by providing general contracting related to system mapping surveys, demonstrations, project management, crew support, and commercial implementations. Additionally, Bechtel will assist Ambient with compliance with utility commission or utility board regulations and guidelines, and applicable state and federal laws, both in the United States and abroad.

In the March agreement, both Bechtel and Ambient Corp. stated that a full strategic alliance was contemplated. This announcement is a logical extension of that agreement. The fact that the contemplated alliance took place sooner than expected is evidence of the fast paced development of the relationship.

Ambient Corporation has developed and owns innovative technology that facilitates the transfer of Internet and high-speed data through ordinary electric powerlines. The same electric wiring that is ordinarily used to transmit electrical power to individual homes and businesses can also be used to transmit high-speed data.

Ambient's Powerline Telecommunications technology (PLT) is designed to enable utilities and power companies to partner with Ambient in creating baskets of utility and consumer services.

These utility services are expected to include such features as automatic meter reading (AMR), load switching/balancing, demand management, outage reporting, real-time billing, and alarm monitoring. Consumer services may feature Internet, telephony, video-on-demand, content, and smart appliances. Both baskets of services will be achieved using Ambient's Powerline Telecommunications technology (PLT) across electrical powerlines and utilizing existing infrastructure.

Last November Ambient jointly announced with Consolidated Edison of New York (NYSE:ED), successful first-phase testing of Ambient's Powerline Telecommunications Technology. In January 2001, Ambient announced successful testing held in Japan. The tests held in Osaka, Japan exceeded the results of the Con Edison tests.

On January 25, 2001, Ambient Corp. announced it had conducted in Hong Kong the first ever successful testing of its Powerline Telecommunications Technology in an actual residential building. These tests established successful connectivity from the electric distribution closet, to the furthest apartments on all 8 floors. In addition connectivity between each floor was successfully proven. Throughput data rates of up to 8 Mbps were recorded, with raw speed exceeding 25 Mbps.

On January 31, 2001, Ambient announced a development and licensing agreement with Cisco Systems Inc. (NASDAQ:CSCO).

On April 03, 2001, Ambient Corporation announced that it will commence relocation of its world headquarters to New York. Ambient Corp. currently headquartered in Brookline, Massachusetts, will begin a phased transfer of its executive, financial, and operational functions to New York over the next months.

About Ambient Corporation:

Ambient Corporation (OTC BB:ABTG) is a publicly traded company incorporated in the United States that operates technology companies, focusing on Powerline Telecommunication (PLT), telephony-related product offerings, Internet and E-Commerce for a variety of exciting new consumer applications, plus a basket of utility related services. www.ambientcorp.com

About Bechtel Telecommunications:

Bechtel Telecommunications is a unit of Bechtel Corporation, one of the world's premier engineering, construction and management organizations. Headquartered in San Francisco, the privately held company has more than 40,000 employees and 60 offices worldwide, and 2000 revenues of $14.3 billion. Bechtel Telecommunications provides design, engineering, project management, and construction management for all types of telecommunication systems.

This press release may contain forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents filed by Ambient Corporation with the SEC, including the company's most recent report on Form 10-K and 10-Q, which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements.

Ambient is a trademark of Ambient Corporation registered in the U.S. Patent and Trademark Office.