BellSouth, 3Com to Deliver High-Speed Connectivity.

ATLANTA--(BUSINESS WIRE)--Feb. 17, 1999--

First-of-its-Kind Alliance Makes Information Access Easier

for Millions of Potential Customers

BellSouth (NYSE: BLS) and 3Com Corporation (Nasdaq: COMS) today announced joint plans to market and deliver easy-to-use high-speed Internet and data access via ADSL (asymmetric digital subscriber line). The alliance, the first of its kind in the ADSL industry, will make it easier for customers in 30 southeastern markets to activate BellSouth's Internet service using 3Com(R) brand modems at speeds up to 50 times faster than most current Internet connections - all in one simple, easy-to-use package.

BellSouth and 3Com plan to roll out BellSouth.net(SM) FastAccess(SM) ADSL Internet service using 3Com modems to consumers and small businesses later this year. Over five million ADSL capable customer telephone lines will be available during the rollout. Initially, the two companies expect to offer full-rate ADSL services and modems as early as spring 1999. Moving forward, the companies plan to incorporate the G.lite (splitterless ADSL service) standard when it is ratified (anticipated summer 1999). For those areas where DSL is not feasible, BellSouth and 3Com will provide traditional, analog dial-up services and modems.

BellSouth and 3Com will use their many strengths, including extensive channel reach and wide brand recognition, to speed service selection and activation. For example, the companies expect to offer high-speed data access services and 3Com modems through joint retail and online locations and BellSouth's sales offices. After determining if ADSL is available in their geographic locations, customers can then request BellSouth.net FastAccess ADSL service and purchase a 3Com modem while in the retail or web store.

"Reliable, high-speed Internet access is a priority for our customers, and BellSouth is leading the charge," said John Robinson, vice president of strategic management for BellSouth. "This alliance with 3Com provides a bundled product that gets the customer up and running with one stop. 3Com's leadership in customer networking equipment is a valuable complement to BellSouth's quality Internet and data services."

"BellSouth customers will soon be able to enjoy a simpler way of signing up for the speed and reliability of ADSL connections," said Janice Roberts, 3Com's senior vice president of business development. "This extensive deployment demonstrates 3Com's commitment to accelerate emerging market standards and make them a reality. Our alliance with BellSouth - encompassing several divisions - also demonstrates 3Com's vision of pervasive networking, keeping customers more connected."

This alliance broadens the relationship between BellSouth and 3Com, which began two months ago with an alliance that will utilize the nationwide BellSouth Wireless Network to power the Palm VII(TM) connected organizer. Wireless Subscription Management (WSM), a network feature unveiled by BellSouth Wireless Data, will enable those purchasing the Palm VII to select service options and activate their devices right out of the box.

Building on its acknowledged leadership in the analog modem market, 3Com is dedicated to bringing cutting-edge, emerging technologies to market - such as DSL client products. Easy-to-install, high-speed connectivity to and within the home is also a cornerstone of 3Com's pervasive networking vision.

Today's alliance is one of several strategic relationships BellSouth is pursuing to provide the best Internet services to the company's current customers and build new customer relationships with these premier offerings. To achieve this goal, relationships with Internet connectivity companies like 3Com are critical; most customers can use existing computers to enjoy high-speed ADSL Internet access. This alliance is part of BellSouth's overall data strategy, which is projected to generate more than $5 billion in data services revenue annually by 2002.

About 3Com Corporation

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

About BellSouth

BellSouth (NYSE: BLS) is a $23 billion communications services company. It provides telecommunications, wireless communications, cable and digital TV, directory advertising and publishing, and Internet and data services to nearly 34 million customers in 19 countries worldwide. For more information on BellSouth, visit the Web site at www.bellsouth.com. For details on BellSouth.net FastAccess ADSL Internet service, visit www.bellsouth.net/external/adsl.

3Com is a registered trademark and More connected. is a trademark of 3Com Corporation. All other trademarks and trade names belong to their respective holders.