Covad Wireless Announces New 2.0 Mbps Service.

Super-T 2.0 offers up to one-third more speed at a price competitive with traditional landline T-1 services

SAN JOSE, Calif. -- Covad Wireless, a subsidiary of Covad Communications Group, Inc. (AMEX: DVW), today announced the availability of a Super-T 2.0 Mbps service that is competitively priced with traditional landline T-1 services while offering up to 33 percent more speed. The service is intended to meet the increasing bandwidth needs of small and medium-sized businesses with all the advantages of fixed wireless broadband, including faster installations and service upgrade flexibility.

"With businesses increasingly running bandwidth-intensive applications over their networks, our customers are looking for services that can take them up the next step of the bandwidth ladder," said Patrick Bennett, executive vice president of Covad Wireless. "The new Super-T 2.0 Mbps service is another way Covad is meeting customer demand for reliable, high-speed broadband services at a competitive price."

Because Covad owns its own broadband wireless network - including in this case the "last mile" - the company is able to deliver significant cost savings to customers. Pricing for the Super-T 2.0 starts at $399 for a three-year contract term and goes up to $429 for a one-year contract.

"The introduction of a 2.0 Mbps service by Covad Wireless shows how the technology can offer more flexible speeds at competitive prices, giving businesses the option to break out of the capacity limits of traditional T1 service," said Brian Washburn, Research Director, Current Analysis.

The new 2.0 Mbps service adds another speed to Covad Wireless' portfolio, which includes T-1 replacement offerings from 768Kbps to 6.0 Mbps, as well as high-capacity services up to 100 Mbps.

Covad Wireless is a wireless internet service provider operating one of the nation's largest fixed broadband wireless networks focused on serving business customers. Covad Wireless serves 3,600 small and medium-sized businesses in the San Francisco Bay Area, the greater Los Angeles area, the Chicago suburbs, and Las Vegas. For more information on Covad Wireless services, please visit www.covadwireless.com or call 1-866-805-1630.

About Covad

Covad is a leading nationwide provider of integrated voice and data communications. The company offers DSL, Voice Over IP, T1, broadband wireless, Web hosting, managed security, IP and dial-up, and bundled voice and data services directly through Covad's network and through Internet Service Providers, value-added resellers, telecommunications carriers and affinity groups to small and medium-sized businesses and home users. Covad broadband services are currently available across the nation in 44 states and 235 Metropolitan Statistical Areas (MSAs) and can be purchased by more than 57 million homes and businesses, which represent over 50 percent of all US homes and businesses. Corporate headquarters is located at 110 Rio Robles San Jose, CA 95134. Telephone: 1-888-GO-COVAD. Web Site: www.covad.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:

The foregoing contains "forward-looking statements" which are based on management's current information and beliefs as well as on a number of assumptions concerning future events made by management. Examples of forward-looking statements include expectations regarding the demand for Covad Wireless services. Readers are cautioned not to put undue reliance on such forward-looking statements, which are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside Covad's control that could cause actual results to differ materially from such statements. These risk factors include our ability to rapidly expand and deploy these services, the impact of increasing competition, pricing pressures, consolidation in the telecommunications industry, uncertainty in telecommunications regulations and changes in technologies, among other risks. For a more detailed description of the risk factors that could cause such a difference, please see Covad's 10-K, 10-Q, 8-Kand other filings with the Securities and Exchange Commission. Covad disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. This information is presented solely to provide additional information to further understand the results of Covad.