CAIS Internet to Deploy 3Com Visitor and Community Networking System in Participating Hotels Across North America.

Business/Technology Editors

WASHINGTON--(BUSINESS WIRE)--June 19, 2000

Alliance Continues to Thrive as Hotels Embrace Visitor and

Community Networks

CAIS Internet (Nasdaq:CAIS) announced that it will deploy 3Com Corporation's (Nasdaq:COMS) new 3Com (R) Visitor and Community Network System as a component of the CAIS Corporate Business Traveler program in participating hotels throughout North America this year. CAIS is the leading high-speed broadband solutions provider in North America for hotels, airports and multi-tenant buildings. In the hospitality industry alone, CAIS has master contracts to provide 1.3 million hotel rooms with high-speed Internet access.

This deployment follows both companies' previous announcements of 3Com's $20 million equity investment in CAIS, which is already installing the new 3Com system in certain hotels. The 3Com system is working in conjunction with CAIS's advanced IPORT server, which provisions Internet services for guests at the networked hotels. In addition, the companies are engaging in technology development to bring advanced digital video-on-demand systems to CAIS's large customer base of facility owners.

"We are pleased to be partnering with 3Com because of their strong technology expertise, far-ranging product portfolio and global brand recognition," said Ulysses Auger II, CEO, CAIS Internet. "We are actively working with 3Com to offer our customers the best possible Internet experience and value-added services. Delivering the VCN System to the hospitality industry is just the first example of what our companies can accomplish together."

"CAIS Internet is an important partner for us to demonstrate what we can bring to business travelers who stay at CAIS-affiliated properties," said Amir Eldad, 3Com's Visitor Based Networks vice president and general manager. "3Com's VCN solution enables CAIS to offer its clients content-rich services with new Ethernet over VDSL broadband technology, making it easier to create and deliver an array of cutting-edge Ethernet-based online services."

CAIS currently has master agreements to deliver its access and content to more than one million guest rooms at over 10,000 properties nationwide, out of a total market size of 3.3 million hotel and motel rooms. An estimated 275.5 million business travelers pass through hotels yearly, 62 percent of them carrying laptop computers.

Advanced Technology Development Program

Leveraging 3Com's engineering resources and new Ethernet over VDSL technology and engineering, CAIS is developing new technology that converges the worlds of entertainment (video-on-demand), Internet access (always-on, high-speed connectivity) and voice services. CAIS and 3Com will be demonstrating prototypes of this new technology on June 20-23 at HITEC2000 in Dallas, TX, at 3Com booth#1816 and at CAIS booth#1429 at the Convention Center.

Future enhancements of the technology are expected to incorporate IP telephony features. Integrating IP telephony into future broadband devices will enable voice calls to be sent in a digital packet form rather than traditional analog signals. Digital packets will enable service providers to easily add new voice features without substantial changes to the system's infrastructure and offer high-quality videoconferencing.

About CAIS Internet

CAIS Internet, Inc. is the leading broadband access solutions company. CAIS provides the mobile workforce with comprehensive high speed Internet solutions while at home or in apartments, at work during the day in small-to-medium businesses, or on-the-go at airports, travel plazas, cruise ships, retail stores, and in hotel guest and meeting rooms. Whether it's creating a low cost in-building network and content service for multiple users with proprietary and patented technologies, providing a public area Internet kiosk, or giving businesses daytime connectivity with DSL & leased-line dedicated access, the company delivers a cost-effective, easy and convenient Internet experience for customers. The customer experience is the result of a one-stop, integrated solutions package of innovative CAIS network access and technologies, IPORT software, customer support, portal content and systems.

About 3COM

With more than 300 million customers worldwide, 3Com Corporation connects more people and organizations to information and each other in more innovative, simple and reliable ways than any other networking company. 3Com delivers web-enabled solutions to consumers, small-to-medium-sized business locations and network service providers. For further information, visit 3Com's World Wide Web site at www.3com.com or the press site at www.3com.com/pressbox.