Dickenson County, Virginia Turns to Proxim For Municipal Wireless Network; Broadband Wireless Network Enables Emergency Communications, Residential Internet Access and Business-Class Data Connectivity Over 175 Square Miles.

SAN JOSE, Calif. -- Proxim Wireless Corporation, a global provider of broadband wireless equipment and wholly-owned subsidiary of Terabeam, Inc. (NASDAQ: TRBM), today announced that its broadband wireless systems have been deployed to support a municipal wireless network for Dickenson County, Virginia. Initially envisioned and funded for public safety and emergency communications, the network has provided the platform to deliver residential Internet access and business-class data connectivity with low marginal investment in an area underserved by traditional broadband service providers. The network includes a combination of outdoor Wi-Fi(R) access points, supporting Internet access for homes, businesses and even in vehicles, and high-speed point-to-point microwave wireless systems providing business-class connectivity and network backhaul.

Dickenson County is a community of over 16,000 residents, situated in rugged, mountainous terrain in the heart of Appalachia. The high cost and sparse availability of wired broadband Internet access had forced county departments to depend on dial-up service for critical communications. As the county confronted the need to develop a robust first-responder system, Mark Cvetnich, Manager-911 Service, investigated broadband wireless products and determined that Proxim Wireless had the complete suite of products to deliver state-of-the-art communication capabilities to support not just mission-critical county operations but offer services to residences and businesses as well. Cvetnich led the creation of a county-funded authority, Dickenson County Wireless Integrated Network (DCWIN), to manage the design, installation and operation of the network.

The network design includes:

--Outdoor, tower-mounted Proxim Wi-Fi access points, providing network access to homes, businesses and emergency vehicles

--Proxim's EtherAnt Wi-Fi residential subscriber units, offering low-cost last mile connectivity to remote residences

--Proxim's TeraBridge frequency division duplex (FDD) point-to-point radios, delivering business-class connectivity up to DS3 capacity

--TeraBridges deployed in sets of two per side with dual-horn antennas, connecting in ring formation with effective aggregate throughput of 180 Mbps, for network backhaul

Thanks to DCWIN, emergency vehicles using on-board Wi-Fi client devices have network access over a 175 square mile area. A child care center is able to offer parents real-time, password-protected video monitoring over the Internet.

"DCWIN has become the backbone for advanced communications in Dickenson County, and in fact officials in our state capital Richmond regularly refer other communities to us as a showcase," said Cvetnich. "We are very pleased with the Proxim Wireless suite of solutions, as it has given us capabilities far above those of a wired network while giving us a significantly lower total cost of ownership."

"We are pleased to support Dickenson County in bridging the digital divide and establishing sophisticated first-responder communications," said Amit Malhotra, Vice President of Marketing for Proxim Wireless. "Such vital and innovative services are made possible by Proxim's pioneering technology, breadth of products and depth of experience. Our broad product lines enable designers of multi-use, integrated, sophisticated networks like DCWIN to make a single call for all their wireless connectivity needs, both at initial sale and for future growth and support."

About Proxim Wireless

Proxim Wireless Corporation is a wholly-owned subsidiary of Terabeam, Inc. (NASDAQ: TRBM). Proxim Wireless is a global pioneer in developing and supplying scalable broadband wireless networking systems for enterprises, governments, and service providers. From Wi-Fi to wireless Gigabit Ethernet - our WLAN, mesh, point-to-multipoint, and point-to-point products are available through our extensive global channel network, backed by world-class support. Proxim is a Principal Member of the WiMAX Forum and is ISO-9001 certified. Information about Proxim and its products and support can be found at http://www.proxim.com.

Safe Harbor Statement

Statements in this press release that are not statements of historical facts are forward-looking statements that involve risks, uncertainties, and assumptions. Our actual results may differ materially from the results anticipated in these forward-looking statements. The forward-looking statements involve risks and uncertainties that could contribute to such differences including those relating to the intense competition in our industries and resulting impacts on our pricing, gross margins, and general financial performance; and difficulties or delays in developing and supplying new products with the contemplated or desired features, performance, compliances, certifications, cost, price, and other characteristics. Further information on these and other factors that could affect our actual results is and will be included in filings made by Terabeam from time to time with the Securities and Exchange Commission and in our other public statements.