Costello Named Chairman of NextNet.

MINNEAPOLIS--(BUSINESS WIRE)--Dec. 15, 1998--

Breakthrough Wireless Technology Designed to Get Consumers On-Line Without Having to Plug-in

NextNet, Inc., a privately-held start-up company with breakthrough wireless technology designed to get consumers on-line without having to plug-in, today announced that Joe Costello, 45, has been named Chairman of the Board. Costello, who was named CEO Magazine's 1997 CEO of the Year while at Cadence Design Systems, Inc., brings a wealth of Fortune 1000 business experience to NextNet and will play a lead role in guiding the company's executive management team in its business and market development efforts.

Over the next 12 to 18 months, NextNet is putting all of the elements in place -- technology, market infrastructure and business model - to make it possible for consumers to get on-line services from anywhere without having to physically plug into a network. The company's patented wireless data transmission technology makes it possible to send data over the voice cellular network at LAN-like speeds of greater than 1Mbit/sec -- 100 times faster than current wireless data transmission technology -- at the lowest deployment cost with the widest possible coverage area.

Next steps in company's effort to commercialize the technology are: verification of the technology through field tests; development and manufacture of high-performance silicon at low price points suited to consumer markets (see related news announced on BusinessWire today, titled "NextNet Inks Deal With Oren Semiconductor to Develop Core Chip to Enable Wireless Mobile Computing Over the Internet"); and the formation of partnerships with key carriers and equipment suppliers, laying the foundation for rapid deployment of the technology over the existing cellular infrastructure.

"I'm excited to be part of this new venture working with such a dedicated and talented technical team," said Costello. "NextNet has the breakthrough technology that will enable the next generation of truly tetherless mobile computing over the Internet and other IP-based networks. I've worked with the team over the past 12 months to put a business strategy in place that we believe will result in proliferation of this technology for consumers worldwide. Now it's time to execute on all fronts to make it happen."

Costello joins the five-member board, which currently includes Barry Schiffman, Dixon Doll, and Don Green, all of whom are investors in the company; and NextNet Founder and President Isaac Shpantzer, PhD, and NextNet Vice President Vladimir Kelman.

"I'm delighted that Joe has agreed to extend his role in making the NextNet vision a reality," said Dr. Shpantzer, who invented the core wireless technology. "He will play a pivotal role in providing us guidance on our business and market development during this critical time in the evolution of our company."

About Joe Costello

Costello is Chairman and CEO of The Company Formerly Known as Cad.Lab (TCFKAC), a supplier of leading-edge mechanical design software solutions. He is also Chairman of Zamba (Nasdaq: ZMBA), the nation's largest dedicated customer care consulting company, and a member of the board of Clarify (Nasdaq: CLFY), a global leader in integrated front office solutions that unite companies and their partners around customers.

Prior to joining TCFKAC, Costello was President and CEO of Cadence Design Systems, Inc. from the company's inception in 1988 until 1997. Under his guidance, Cadence grew to be the world's leading supplier of electronic design automation (EDA) software and services which are used in the development of products such as semiconductors, computers, networking equipment, telecommunications products and consumer electronics. In 1997, he was named the top performing CEO of all publicly traded companies in North America by Chief Executive Magazine. He was also named to Upside Magazine's 1997 "Elite 100" list of the top executives leading the digital revolution.

Before Cadence, Mr. Costello served as President and Chief Operating Officer at SDA Systems, one of the two companies that merged in 1988 to form Cadence. Prior to that, he was president of Electronic Speech Systems, and manager of research and development for digital signal processing and speech at National Semiconductor. Costello holds a B.S. in Mathematics and Physics from Harvey Mudd College, an M.S. in Physics from Yale University and an M.S. in Physics from the U.C. Berkeley.

About NextNet

NextNet is a privately-held start-up company focused on bringing wireless mobile computing over the Internet and IP-based networks to consumers worldwide, so that anyone will be able to get on-line services from anywhere without having to physically plug into a network. NextNet's patented wireless technology is designed to make it possible to send data over the voice cellular network at LAN-like speeds of greater than 1Mbit/sec, 100 times faster than current wireless data transmission technology.

The technology will provide high-speed wireless data communication over existing cellular and PCS infrastructures. It is a data service alternative to 3G technologies including W-CDMA, CDMA2000, IMT2000, IS-136HS, EDGE, and UWC-136, being proposed by companies such as Ericsson, Sony, AT&T Wireless Services, Lucent Technologies, Nortel, and others. NextNet technology will make high-speed data available sooner, with significantly better performance characteristics, for far less investment, and without requiring the additional bandwidth demanded by proposed future 3G schemes.

Since NextNet's technology runs as an overlay on any voice cellular system, reusing frequencies and infrastructure, it will enable the lowest possible cost of deployment with the widest possible coverage area. The company received U.S. patent registration for this technology in 1996 and has received several additional foreign patent registrations since then.

On September 23, NextNet announced the formation of the company, a spin-off of Zamba Corp. (NASDAQ: ZMBA), and stated that it received initial funding of $8 million from an investment group led by Jafco America Ventures, Inc. (US. and Japan). Company headquarters are in Minneapolis, Minnesota. For more information regarding NextNet, contact Beverly Waldorf at 612-929-4008 ext. 109.