Blue Wave Systems' ComStruct DSP Platform Selected by Leading Wireless Infrastructure Equipment Provider.

CARROLLTON, Texas--(BUSINESS WIRE)--Dec. 7, 1999--

Flexible, Scalable Architecture Key To Selection Of ComStruct(TM)

For GPRS And 3rd Generation Mobile Standard

Blue Wave Systems, Inc. (NASDAQ/NMS: BWSI) ComStruct(TM) DSP hardware platforms have been selected by Symmetry Communications Systems, San Jose, CA, for integration into its latest system architecture. Symmetry's system will utilize the flexibility and scalability of the ComStruct CPCI/C6400 CompactPCI platform to target Global Systems for Mobile Communications (GSM) wireless carriers seeking to upgrade their networks for the launch of General Packet Radio Service (GPRS). The availability of GPRS is a key step in the evolution of current standards towards third-generation (3G) mobile networks.

"Blue Wave's roadmap for ComStruct will enable future expansion to higher capacities, which is in line with our needs to offer low-cost deployment and highly scalable, powerful solutions," explained John Baker, president of Symmetry Communications Systems. "Their proven support for the Sun Microsystems (NASDAQ: SUNW) Solaris(TM) operating environment was a key factor in our selection."

GPRS is a new wireless packet data service that allows users to continuously be connected across a mobile telephone network and to take advantage of applications such as mobile Internet access. According to the GSM Association (www.gsm.org), GSM customers worldwide currently exceed 215 million, with projections of 700 million to 1 billion GSM customers by the year 2005.

Symmetry Communications Systems develops wireless data-communications infrastructure equipment, including scalable solutions for GPRS, and EDGE (Enhanced Data rate GPRS Evolution) for GSM and US standard IS136 networks. The Symmetry Gateway Support Node (GSN) also provides the core platform for 3G networks. The CPCI/C6400 board will integrate into Symmetry's GSN and provide rapid connection and fast data transmission rates for packet transfer with data compression, security features and encryption.

The GSN from Symmetry is already being considered by a number of GSM network providers as they look to add GPRS capability to their existing infrastructure. Volume delivery of the CPCI/C6400 for the GSN application is expected to commence in the first quarter of 2000.

"This is yet another example of how ComStruct meets the needs of telecom infrastructure developers, with the combination of highly scalable products and our teaming relationship with Sun Microsystems," said Brian Lees, director of marketing for Blue Wave Systems. "ComStruct is ideally positioned for evolving applications such as GPRS, with its modular and upgradable architecture providing a flexible deployment platform."

Blue Wave's CPCI/C6400 high performance resource board, featuring four 200-MHz C6000 series DSPs, is part of the ComStruct range of modular communications processing solutions, optimized for multi-channel processing. Symmetry's GSN utilizes the CPCI/C6400 to perform the necessary compression/decompression and encryption, with the SPARCengine(TM) CP1500 from Sun Microsystems as the host processor. Earlier this year Blue Wave Systems and Sun Microsystems announced their teaming to provide high-density communications processing solutions for telecom OEMs.

Blue Wave Systems, Inc.

Blue Wave Systems, Inc. is a leading supplier of DSP-based solutions to the telecommunications industry and provides digital signal processor (DSP) subsystems to more than one-half of the world's top 40 companies. Blue Wave's products include the ComStruct line of building blocks for communications processing applications. For additional information about Blue Wave Systems, please visit the company's web site at www.bluews.com. ComStruct is a trademark of Blue Wave Systems Inc.

Symmetry Communications Inc.

Symmetry Communications Inc. is a venture capital-funded company based in San Jose, California and focused on providing high-speed wireless data solutions to mobile operators. For more information on Symmetry, visit the Symmetry web site at www.symmetrycomm.com.

This press release contains forward-looking statements which are based on expectations of the Company but involve a number of risks and uncertainties, including, but not limited to, technological change, quarterly fluctuations, integration of Mizar and Loughborough Sound Images, dependence on the defense industry, dependence on key suppliers and employees, competition, and Year 2000 compliance. The foregoing list should not be construed as exhaustive and the Company disclaims any obligation subsequently to revise forward-looking statements to reflect unanticipated events. For a further explanation of risk factors please see the Company's most recent SEC filings. The Company further cautions users who may utilize published bookings and backlog information as tools to forecast the company's revenue during a given timeframe since certain purchase orders may be subject to 1) cancellation and, 2) revision to delivery schedules.