Covad Roars Into the Motor City With High-Speed Internet Access for Detroit-area Businesses and Homes; Covad Offers the Area's First Consumer DSL Service.

SANTA CLARA, Calif.--(BUSINESS WIRE)--June 17, 1999--

Covad Communications (Nasdaq:COVD), a leading provider of high-speed Internet and network access, today announced the availability of its Digital Subscriber Line (DSL)-based services in the Detroit metropolitan area.

Covad has established strategic relationships with Detroit-based regional and national Internet Service Providers (ISPs), making it easy for businesses and consumers to order, install and manage their high-speed Internet access solutions. Covad's services currently are offered in the Detroit area through local ISPs Big Net, Inc. (www.bignet.net), WebNet Inc. (www.wnol.net), InterChange, Inc. (www.ichange.net) and Communication Venture Services, Inc. (www.cvsi.net). Covad is also offering service through national service providers Concentric Network (Nasdaq: CNCX) (www.concentric.net) and Flashcom (www.flashcom.com). Covad is currently taking orders for service in the downtown Detroit metropolitan area, Grosse Pointe, Southfield, Redford, Clawson, Livonia, Brighton, Ann Arbor and the Downriver region.

"For the first time, Detroit-area business and consumers can afford to realize the true potential of the Internet using a broadband connection of their own," said Robert Grant, president and general manager of Covad's Central region. "Covad's secure, 'always-on' Internet service will not only offer a cost-effective alternative to the local telephone and cable companies, but will establish high standards for customer satisfaction in Detroit."

Covad's DSL technology allows for high-speed Internet access using the copper phone wires found in nearly all businesses and homes today. Once installed, the high-speed connection is secure, "always on" and always available. This obviates the need to dial in each time a user wants to browse the Internet or download email, eliminating delays, busy signals and non-connects.

"Covad's DSL service will extend Big Net's ability to provide our customers with a one-stop shop for all of their communications needs," remarked Big Net chairman and president Duane Rao. "Covad has the type of quality track record we look for in a partner, complementing our record as one of the most experienced Internet service providers in Southeastern Michigan."

In addition, Don Qualls, President of WebNet said, "Businesses in Detroit are looking for high-speed, cost-effective methods of conveying information, and we are confident our partnership with Covad will help us provide high-quality broadband services. We believe that Covad is the wave of the future."

Mark Fisher, Concentric Network's senior vice president and general manager of the network services division said, "Because of the efforts of Covad and Concentric, small- to medium-sized businesses, telecommuters and individuals in the Detroit region can now reap the benefits of an affordable, 'always on' high-speed Internet access solution. To help our customers better leverage the power of the Internet, we bundle a complimentary Web hosting account with our ConcentricDSL service, providing a complete, affordable and easy to use solution."

Covad's TeleSpeed(R) service provides data connections up to 50 times faster than 28.8K modems for businesses. Covad's TeleSurfer(SM) service provides home users with the highest quality residential option, at over 10 times the speed of most dial-up solutions.

Covad's TeleSurfer service provides residential users privacy, flexibility, and reliability advantages over services offered by cable companies. Unlike cable systems where several neighbors share the same line, Covad's "always on" connection utilizes a dedicated, point-to-point network. This architecture offers much better security, as well as access speeds that do not deteriorate as more users log on. In fact, Keynote Systems Research recently released a study indicating that DSL connections are 11 percent faster than cable-modem connections during consumers' peak evening usage hours. This service also gives the user the ability to select the Internet Service provider that best suits their needs.

All of Covad's services are billed at a "flat-rate," thus eliminating the costly and often unpredictable per-minute usage fees charged by dial-up and ISDN service providers. Covad provides an online Customer Care Center where customers can check service availability, enter orders, check order and network status, and download software upgrades. Customers can choose from a wide range of TeleSpeed and TeleSurfer services based on their budgets, needs and usage patterns.

About Covad

Covad Communications Company is a leading high-speed Internet and network access provider offering DSL services through Internet Service Providers to small- and medium-sized businesses and consumers, and sold directly to large enterprise customers. Covad's service is on-line in 13 regions currently encompassing 33 Metropolitan Statistical Areas. Service is available in the San Francisco Bay Area, Los Angeles, Seattle, Sacramento, New York, Boston, Washington, D.C., Baltimore, Chicago, Philadelphia, San Diego, Atlanta and Detroit metropolitan areas. Covad has announced plans to deploy its networks in a total of 22 regions, encompassing 51 metropolitan statistical areas nationwide. Covad Communications Company and its affiliates doing business as Covad Communications Company, are wholly owned subsidiaries of Covad Communications Group, Inc. (Nasdaq:COVD). Corporate headquarters is located at 2330 Central Expressway, Santa Clara, CA, 95050. Telephone: [phone] or 1-888-GO-COVAD; FAX: [phone]. Web Site: www.covad.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this release, which are not historical facts may be deemed to contain forward-looking statements, including, but not limited to, deployment of the Company's network in new and existing regions and the timing and breadth of coverage in each region. Actual results may differ materially from those anticipated in any forward-looking statements as a result of certain risks and uncertainties, including, without limitation, the Company's dependence on strategic third parties to market and resell its services, intense competition for the Company's service offerings, dependence on growth in demand for DSL-based services, availability of collocation space and facilities, ability to manage and scale operations, and other risks and uncertainties detailed in the Company's Securities and Exchange Commission filings. The Company disclaims any obligation to update information contained in any forward-looking statement.