Arcwave Partners with Caspian Technology to Provide Wireless Last Mile Solution to MSOs in Asia-Pacific.

CAMPBELL, Calif. & HOMEBUSH, Australia -- Leading Supplier to Cable Operators in Australia and New Zealand to Make Arcwave's Fixed Wireless DOCSIS Plant Extension Solution Available to Extensive Customer Base

Arcwave, Inc., the leader in providing wireless solutions for the cable industry, and Caspian Technology Pty Ltd, one of the leading suppliers of equipment and engineering services for the cable industry in Asia-Pacific, today announced an agreement in which Caspian will distribute Arcwave's ARCXtend(TM) fixed wireless DOCSIS(R) (Data Over Cable Service Interface Specification) solution to cable operators in Australia and New Zealand. The partnership, through which Caspian will also maintain a local repair center, will enable cable operators in the region to leverage Arcwave's innovative wireless solution to significantly enhance their commercial service revenue with the difficult to reach small-to-medium-sized business (SMB) market, which number in excess of one million businesses in Australia and New Zealand.

Arcwave's ARCXtend wireless plant extension solution is the first wireless last mile solution that allows cable operators to quickly and cost-effectively offer high-speed data services to a large portion of the SMB market that was previously unreachable due to cost, regulatory or deployment delay considerations. ARCXtend easily integrates into a cable operator's network and operating infrastructure creating a wireless bridge for the transmission of DOCSIS data signals between the wired network and one or more customer sites.

An ARCXtend deployment includes a network hub, mounted on a cable strand or on a building or a tower, and a transceiver/antenna that connects to a standard cable modem within the business location. The hub connects directly to the cable plant and uses a portion of the wireless unlicensed band to provide high-speed broadband connectivity to the transceiver, supporting up to 256QAM downstream and up to 64QAM upstream modulation -- speeds that are higher than DSL and rival T1 service.

"We are delighted to complete our portfolio of products with Arcwave's unique, state-of-the-art ARCXtend solution which will further enhance the reach of our clients' networks to a much wider base of users," said Dr. H. Kaveh, president of Caspian Technology. "ARCXtend provides a convenient and cost effective means for our customers to extend their significant Hybrid Fiber/Coax networks to provide data services to a previously unreachable market of small to medium sized businesses."

"With more than one million SMBs, many of which are not currently served by cable operators, Australia and New Zealand offer two of the top markets internationally for Arcwave to help cable operators reach these new and lucrative customers," said Steve Goldberg, CEO of Arcwave. "Caspian Technology is a recognized leader in Australia and New Zealand and we are pleased to partner with an organization that has strong relationships with the major cable operators in the region."

About Caspian Technology

Caspian Technology is one of Australia's leading suppliers of equipment and Engineering services for the CATV, Telecommunications, and Power Industries. With many years experience in the industry, the company provides complete solutions. Caspian represents such leading equipment supplies as Arris, MK Battery, Arris / Telewire, Regal, Monarch, and Digicon. Through its wholly owned subsidiary, Lamouc Pty Ltd, Caspian provides intelligent powering products. Caspian Technology Pty Ltd was established in 1996 and serves the telecommunication and CATV industry in Australia and New Zealand.

About Arcwave

Arcwave is the leading developer and provider of wireless plant extension solutions for the cable industry. Arcwave's products enable domestic and international multiple system operators (MSOs) to leverage the latest wireless technologies to extend the reach of their existing services and to increase service offerings within their current plant and operating infrastructure. The company has patented technology and experience in the wireless industry combined with a unique understanding of the MSO business model. Arcwave's solutions are designed for "plug and play" deployment and leverage existing and future technologies, such as Wireless DOCSIS (Data Over Cable Service Interface Specification), 802.11, 802.16d, and 802.16e. Arcwave customers consist of leading MSOs, including one of the top five national cable operators in the U.S. The company is funded by Mayfield, Venrock Associates, Lucent Venture Partners and SBV Venture Partners.

ARCell and ARCXtend are trademarks of Arcwave, Inc., and DOCSIS is a registered trademark of Cable Television Laboratories, Inc. All rights reserved. All other trademarks are the property of their respective holders.