Bell Benin Communications to Increase Network Capacity with Interwave High-Capacity Mobile GSM Switch.

Business Editors/High-Tech Writers

MENLO PARK, Calif.--(BUSINESS WIRE)--Aug. 22, 2002

Bell Benin Communications to Deploy interWAVE's

WAVEXchange II GSM Switch to Support 100,000 Active Subscribers

interWAVE(R) Communications (Nasdaq:IWAV), a pioneer in compact wireless communications systems, today announced that it has continued its expansion in West Africa with a follow up order from Bell Benin Communications, a mobile operator in Benin, Africa. Received just 3 months after Bell Benin Communications' initial order, the purchase of interWAVE's WAVEXchange II will be used to accommodate the rapid growth of Bell Benin Communications' GSM network. As part of the agreement, interWAVE will supply an additional 80 WAVEXpress Base Transceiver Stations (BTS) to complement the increased network capacity of the WAVEXchange II. The immediate first phase will comprise a 25 BTS rollout. The total value of the contract expansion exceeds $2 million.

interWAVE's WAVEXchange II is a large capacity GSM mobile switch that will be used to increase the capacity of Bell Benin Communications' network from supporting a few thousand initial subscribers to managing over 100,000 active subscribers. Bell Benin Communications' initial deployment earlier this year comprised of interWAVE's turnkey solution, including interWAVE's WAVEXchange switch, WAVEXpress Base Station Controller (BSC), WAVEXpress Base Transceiver Station (BTS) as well as its broadband microwave backhaul solution.

"interWAVE is excited to further our relationship with Bell Benin Communications," said Martin de la Serna, regional director for interWAVE. "interWAVE continues to excel in providing scalable, cost-effective networks that can quickly grow as an operator's capacity demand increases. With our unique approach to deployments, operators are able to build out their network incrementally, which allows them to aggressively grow their business, with minimum financial risk."

interWAVE's WAVEXchange II provides operators a wide range of features, including basic telephony services and value added services to grow their businesses. Its compact size minimizes the space request and installation cost. The WAVEXchange II contains an MSC, VLR/HLR, optional built-in echo cancellers, a voice announcement server, an optional prepaid server, a Short Message System and a web based OMC. The user-friendly GUI simplifies the operation and maintenance process.

"With the seamless initial deployment of interWAVE's solution and the network's consistent performance, we knew that continuing with interWAVE was the right choice," said Issa Salifou, President of Bell Benin Communications. "interWAVE's scalable and rapid approach to network deployments has been key in the build out of our network. It has allowed us to immediately begin generating revenue after our initial deployment, which, in turn, contributes to the funding of our network expansion."

For additional information regarding interWAVE's GSM solutions, including its WAVEXchange II, email [e-mail] or visit www.iwv.com.

About interWAVE Communications

interWAVE Communications International, Ltd. is a global provider of compact network solutions and services that offer the most innovative, cost effective and scalable network allowing operators to "reach the unreached". Our solutions provide economical, distributed networks that minimize capital expenditure while accelerating customers' revenue generation. interWAVE's solutions feature a product suite for the rapid and simple deployment of end-to-end compact cellular systems and broadband wireless data networks that deliver scalable IP, ATM broadband networks. interWAVE's highly portable mobile, cellular networks and broadband wireless solutions provide vital and reliable wireless communications capabilities for customers in over 50 countries. interWAVE's U.S. subsidiary is headquartered at 312 Constitution Drive, Menlo Park, California, and can be contacted at www.iwv.com or at [phone].

This news release contains forward-looking statements that are subject to known and unknown risks and uncertainties that could cause the results of interWAVE Communications International, Ltd. to differ materially from management's current expectations. These risks and uncertainties include, but are not limited to, the risks relating to interWAVE's history of losses, the expectation of future losses, reliance on a small number of customers, complexity of products, difficulties in introducing new or enhanced products, compliance with regulations and evolving industry standards, long sales cycles, intense competition, management of global operations, the ability to retain and motivate key employees, and acquisition related risk factors including potential for profit acceleration, dilution of shares outstanding, increases in debt absorbed and potential post-acquisition employee retention, as well as the Risk Factors discussed in the filings and reports made from time to time by interWAVE with the Securities and Exchange Commission.