Birch Telecom Selects Netopia as Preferred Provider of Small Business Internet Infrastructure.

ALAMEDA, Calif.--(BUSINESS WIRE)--Aug. 5, 1999--

Netopia will Provide Birch Customers with DSL Internet Equipment,

VPN/Extranet Support, and Web Site Platform

Netopia, Inc. (Nasdaq:NTPA), a market leader in providing Internet and electronic commerce infrastructure to small and medium-sized businesses, today announced that Birch Telecom, a rapidly growing provider of local and long-distance phone service, Internet services, and business phone systems, has selected Netopia as its preferred provider for Internet infrastructure.

Birch will now offer its business customers a complete suite of Netopia business solutions: Netopia DSL (Digital Subscriber Line) Internet equipment and the Netopia Web site building platform.

"Birch Telecom offers its customers everything they need in order to start conducting business on the Internet," said Don Goldman, senior vice president of Internet services at Birch Telecom, Inc. "Netopia was the clear choice for provisioning DSL equipment and Web site services to our small and medium sized business customers because Netopia shares our vision of offering a complete solution for their online business needs, without requiring them to have programming or technical skills."

Netopia is committed not only to providing customer premises equipment for always-on, broadband DSL Internet access, but also to providing businesses with the applications and technologies which DSL makes possible, and which allow these businesses to conduct more business on line and to do so more cost-effectively:

Netopia DSL Routers Enable New Business Applications

With Netopia routers, Birch Telecom customers will be able to use their DSL connections to support telecommuters and a mobile sales force, and to set up secure extranets for their partners. This is because Netopia routers include value-added features such as a built-in firewall, and, in a firmware upgrade slated for later this Summer, will incorporate MultiNAT (Multiple Network Address Translation) and secure VPN (Virtual Private Networking).

Birch DSL Complete products fit into a line of Internet access products which provide everything small businesses need to go on-line, including the Netopia router.

Netopia Web Site Platform Allows Businesses to Set Up Web Sites

in Minutes

Birch Telecom is offering its customers Netopia's Web site building platform, branded as the Birch Space Genie. This platform allows small business owners to set up Web sites in minutes. No special programming skills or software are needed to use this service. Customers can choose from over 30 industry packages (e.g. Real Estate, Financial Services, Education), complete with prepopulated Web site content suited to their business.

Netopia's and Birch Telecom's DSL Partnership with NorthPoint

Communications

Birch Telecom's DSL circuits are provided by NorthPoint Communications (Nasdaq:NPNT), a data CLEC and a leading provider of DSL-based high-speed Internet access. NorthPoint is a long-time partner of Netopia.

"Together, Birch Telecom and Netopia are demonstrating how DSL connections not only provide high speed Internet access, but make possible a variety of new technologies and applications that allow small and medium sized companies to expand their business," said Frank Cabri, director of product marketing at NorthPoint Communications.

"We're very happy that Birch Telecom has selected Netopia as its preferred provider for small business Internet infrastructure," said Alan Lefkof, president and CEO of Netopia, Inc. "Using Netopia products, Birch's customers will not only enjoy high-speed, reliable DSL access to the Internet, but will be able to expand their businesses online by setting up secure virtual private networks and extranets, and by establishing a professional-quality Web presence."

Netopia's Technology Partnership with Copper Mountain Networks

Netopia's DSL technology was developed in partnership with Copper Mountain Networks, (Nasdaq:CMTN). Netopia was Copper Mountain's first CPE partner, and today offers the widest range of CopperCompatible DSL products: the R7100 SDSL and R3100-I IDSL Routers, the D7100 DSU/Filtering Bridge, and the M7100 Modem.

Because of Netopia's DSL partnership with Copper Mountain, all Netopia DSL products are fully integrated with Copper Mountain's CopperEdge(TM) DSL Concentrator and CopperView(TM) Network Management System. This makes it possible to monitor performance, conduct diagnostic tests and upgrade firmware on the Netopia customer site equipment remotely from the network operations center.

About Birch Telecom, Inc.

A competitive local exchange carrier (CLEC), Birch Telecom (http://www.birch.com) has grown to become one of the largest competitors to Southwestern Bell in the Midwest, and recently launched service in Texas. Formed in 1997 in Kansas City, Mo., the 700-employee integrated telecommunications provider offers a range of services including local and long-distance phone service, business phone systems, and Internet services such as access and Web site hosting.

About Netopia, Inc.

Netopia, Inc. develops, markets and supports Internet and electronic commerce infrastructure for small and medium size businesses. Netopia's DSL equipment and Web platforms enable businesses to easily and cost-effectively connect to the Internet, establish and enhance their Internet presence, and conduct business and electronic commerce on the Web.

With the Netopia Web site platform, the company has established Web site services with Netscape Netcenter, Intuit (Nasdaq:INTU), France Telecom (NYSE:FTE), Freeserve and Concentric Network (Nasdaq:CNCX). With its Netopia Internet Router family, the company has established strategic relationships with leading CLECs including NorthPoint Communications (Nasdaq:NPNT), Rhythms NetConnections (Nasdaq:RTHM) and Jato Communications; and with hundreds of ISPs including France Telecom (NYSE:FTE), Telecom Italia (NYSE:TI), Bell Atlantic (NYSE:BEL), PSINet (Nasdaq:PSIX), Verio, UUNet (Nasdaq:WCOM), Earthlink (Nasdaq:ELNK) and Concentric Network (Nasdaq:CNCX).

Headquartered in Alameda, Netopia's common stock is traded on The Nasdaq stock system under the symbol "NTPA." Further information about the company can be obtained via phone [phone], fax [phone] or on the web at www.netopia.com.

Portions of this release contain forward-looking statements. Netopia, Inc.'s actual results could differ materially from the results discussed in this release. Investors are cautioned that all forward-looking statements involve numerous risks and uncertainties, including but not limited to product development, product acceptance, licensing opportunities and general economic conditions. A complete description of Netopia, Inc., including related risk factors is discussed in Netopia, Inc.'s public filings with the United States Securities and Exchange Commission which are available by calling Netopia at 510/814-5260 or online at www.sec.gov.

Note to Editors: All company names, brand names and product names are trademarks of their respective holder(s).