DTS To Supply Network Access Equipment to Nextel.

ATLANTA--(BUSINESS WIRE)--March 24, 1999--

National Wireless Service Provider Orders $2.4 Million in

FlexT1(R) Network Access Products

Digital Transmission Systems, Inc. (DTS) (OTC BB: DTSX), a leading telecommunications equipment manufacturer, today announced that it has received purchase orders for FlexT1 network access equipment from Nextel Communications, Inc. (NASDAQ:NXTL), a wireless communications services company, headquartered in McLean, Va.

The equipment from DTS, supplied under a multiple year contract, will fulfill a portion of the 1999 Nextel network access requirements which total approximately 2.4 million dollars.

Nextel deploys the FlexT1 unit with standardized CSU functionality and T1 performance monitoring at each cell site in its network. In addition, the FlexT1 architecture provides expansion slots where additional cards can be installed to support future Nextel network requirements. The CSUs shipped this year will feature DTS' new ELP (Enhanced Lightning Protection) circuit. This two stage lightning suppression circuit provides surge protection far beyond what industry standard tests require.

"Nextel is committed to delivering to its customers a powerful new level of high quality communication services and the networking equipment from DTS will help us accomplish that," commented Gary Ottosi, Vice President of Network Operations at Nextel. "We chose DTS products because of their functionality, expandability, reliability and competitive price. Nextel will use this equipment to minimize the amount of customer downtime associated with intrusive testing, lower mean time to repair and decrease possibilities of dispatching unnecessary personnel to the cell site."

"DTS is proud to be an integral part of the expansion of Nextel's guaranteed all digital national network," said Dick Pfeister, Vice President of Sales for DTS. "Nextel offers an integrated phone that combines voice, text and numeric paging, and digital two way radio services. Nextel wanted to maximize customer up-time and decrease repair times and it found that the FlexT1's advanced diagnostic and testing capability provide the solution."

FlexT1 products integrate voice signals from cell site radio equipment and signals from other sources (such as data services) and then transmits them back to Mobile Switching Offices (MSOs) of wireless service providers. The advanced diagnostic features of the FlexT1 also allow companies to manage and non-intrusively troubleshoot their networks rapidly.

Nextel Communications, based in McLean, Va., is the leading provider of fully integrated wireless communications and has built the largest guaranteed all-digital wireless network in the United States that covers thousands of communities across the US including 92 of the top 100 U.S. markets. The Nextel National Network offers a fully integrated wireless communications tool with digital cellular, text/numeric paging and Nextel Direct Connect(sm) - a digital two-way radio feature. In addition, through Nextel International, Inc., Nextel has wireless operations and investments in Canada, Mexico, Argentina, Brazil, the Philippines, Peru, Japan and Shanghai, China. For more information about Nextel visit the website at http://www.nextel.com.

Founded in 1990 and headquartered near Atlanta, DTS designs, manufactures and markets components to build, access and monitor high-speed telecommunications networks worldwide. The Company's primary customers include domestic and international wireless service providers, telephone service companies and private wireless network users. The Company's products include the FlexT1(R) (domestic) and FlexE1(tm) (international) integrated network access product lines and microFlex(TM) cross connect systems.

For more information about DTS and its products, call 1-800-FLEX-DTS (1-800-353-9387) or visit the corporate Web site at http://www.dtsx.com.

Note: This news release, other than historical financial information, may consist of forward looking statements that involve risks and uncertainties, including, but not limited to, the timely availability of new products, the impact of competitive products and pricing and delays in the receipt of orders or in the shipment of products, perhaps causing quarterly fluctuations in results, and the other risks detailed in the Company's Securities and Exchange Commission reports and filings, including the report 10-KSB for the year ended June 30, 1998 and the SB-2 registration statement of the Company that became effective March 4, 1996. Actual results may vary materially.