Blue Wave Systems Presents ComStruct Voice Packet Solutions with Sun Microsystems at Spring 2000 Voice on the Net.

Business Editors & High-Tech Writers

CARROLLTON, Texas--(BUSINESS WIRE)--March 24, 2000

Blue Wave Systems Inc. (Nasdaq:BWSI), in association with Sun Microsystems (Nasdaq:SUNW), will present its ComStruct(TM) high channel density voice packet solutions at Spring 2000 Voice on the Net in San Jose, Calif.

This is part of the initiative, announced in September 1999, to provide high reliability, open architecture platforms for embedded communications applications.

Blue Wave has integrated the Sun Microsystems SPARCengine(TM)CP1500 CompactPCI single-board computer with the Blue Wave ComStruct range of high-density DSP resource boards running under the Solaris(TM) operating environment. This initiative allows developers to benefit from the reduced risk and time-to-market offered by ComStruct, combined with the reliability, scalability and security provided by Solaris.

The ComStruct solution for high density Voice/Fax/Data over IP features Blue Wave's CPCI/C5421 DSP resource board together with Texas Instruments' (NYSE:TXN) embedded Voice/Fax/Data over IP Telogy Software(TM). In November 1999, Blue Wave and Texas Instruments announced their co-marketing agreement to provide complete Voice/Fax/Data over IP solutions for CompactPCI platforms. The ComStruct CPCI/C5421 is optimized to run Telogy's embedded VoIP software, and the complete subsystem provides more than 120 channels of simultaneous voice, fax or data over IP calls, including integrated H.323, all within one single CompactPCI slot.

Spring 2000 Voice on the Net will take place on March 27-30 at the San Jose Convention Center in San Jose, Calif. Blue Wave Systems will be participating with Sun Microsystems at booth No. 109-110.

For more information on Blue Wave Systems and the ComStruct line of building blocks, visit http://www.bluews.com.

Blue Wave Systems

Blue Wave Systems is a leading supplier of high-channel Digital Signal Processing (DSP) subsystems used in telecommunication infrastructure equipment, such as voice over packet (VoIP) gateways, digital wireless communications and intelligent peripherals. The ComStruct(TM) line of telecom infrastructure communication processing subsystems was launched in January 1999. At the heart of the ComStruct(TM) line is the company's FACT(TM) software (Framework Architecture for Communication Technologies), which enables the DSP subsystem to be rapidly and effectively deployed in a variety of carrier class telecom applications. Blue Wave Systems has been a market leader in DSP board-level products since 1983. For additional information, please visit our company's web site at www.bluews.com.

ComStruct is a trademark of Blue Wave Systems Inc. All trademarks are acknowledged.

Sun Microsystems, Inc.

Since its inception in 1982, a singular vision -- The Network Is The Computer(TM) -- has propelled Sun Microsystems, Inc. (Nasdaq:SUNW), to its position as a leading provider of industrial-strength hardware, software and services that power the Internet and allow companies worldwide to ".com" their businesses. With $13 billion in annual revenues, Sun can be found in more than 170 countries and on the World Wide Web at http://www.sun.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.