Corsair Introduces New Anti-Fraud System for Digital Wireless Networks; Industry-Leading PhonePrint Protects TDMA Operators.

ORLANDO, Fla.--(BUSINESS WIRE)--Oct. 11, 1999--

Corsair Communications Inc. (Nasdaq:CAIR) today announced a new version of its industry-leading wireless fraud prevention product, PhonePrint(R), which for the first time can protect selected digital wireless networks from cloning, tumbling, and similar types of technical fraud. The new version of PhonePrint is currently scheduled for release in the first quarter of 2000.

"Our PhonePrint system has prevented more than 250 million fraudulent calls and has saved the wireless industry well over $1 billion since its initial commercial release in 1995," said Tom Meyer, Corsair Communications president and chief executive officer. "This new version is ideal for markets in the United States and Latin America that have deployed TDMA digital networks and are facing the threat of cloned handsets."

The Corsair PhonePrint system is based upon a technology known as radio frequency (RF) fingerprinting. RF fingerprinting uses the subtle differences in signal characteristics of any radio transmitter (a wireless phone is a radio transmitter) to build an individual 'fingerprint' for each handset in a particular market. Even if a criminal manages to clone the handset, the clone will not have an identical RF signature. Corsair's system builds a database of RF fingerprints, and does a real-time match of the handset's characteristics when the user initiates a call. If the handset doesn't match the fingerprint in the database, Corsair's PhonePrint system immediately disconnects, or "tears down," the call.

Introduced in 1995, the Corsair system was originally designed to protect analog networks using the AMPS (US and Latin America) and ETACS (parts of Europe and Asia) standards. The new version can be deployed by a carrier as a standalone antifraud system or as a supplemental solution, in case existing authentication systems become compromised.

In the early 1990s wireless fraud was a billion-dollar problem for U.S. carriers alone, and the industry deployed a number of solutions, including the use of PINs, authentication systems, profiling systems, and digital networks. According to Tom McClure, assistant vice president for wireless fraud and security for the CTIA, "RF fingerprinting technology is a key contributor to the substantial decrease in fraud losses in the United States since 1995, and remains a viable solution for markets that cannot deploy authentication systems due to large numbers of legacy handsets or other considerations."

Today the Corsair PhonePrint system protects over 22 million wireless subscribers in over 180 markets. Customers have deployed PhonePrint throughout the United States, Latin America and Asia. By participating in the PhonePrint Roaming Network(R), carriers can also protect their customers from fraud while roaming outside their home market -- even internationally in many cases.

About Corsair Communications

Corsair is a leading provider of software and system solutions for the global wireless industry. The company's products include systems for fraud prevention and prepaid billing. Corsair's PhonePrint(R) wireless fraud prevention system is currently installed in over 180 markets worldwide, covering more than 22 million subscribers. PrePay,(TM) Corsair's WIN-based wireless prepaid billing system, supports more than 5 million wireless subscribers. More information can be found on the company's Web site at www.corsair.com.

Note: This press release may contain forward-looking statements that involve risks and uncertainties. Actual results may differ materially because of various risks, including risks associated with product sales and installation, economic and political instability in international markets, demand for Corsair's products and services, continued growth of the wireless telecommunications industry, and other risks associated with Corsair's business. For an expanded discussion on such risks, please see the documents filed by Corsair Communications with the U.S. Securities and Exchange Commission.