Spectrum Signal Processing's flexComm Products Form the Basis of a Software Defined Radio that is Compliant with the Joint Tactical Radio System - JTRS.

Business Editors

BURNABY, B.C.--(BUSINESS WIRE)--March 19, 2001

Spectrum Signal (NASDAQ:SSPI)(TSE:SSY.)

Spectrum Signal Processing Inc. (NASDAQ:SSPI)(TSE:SSY.), a leader of high-density solutions for wireless signal and Voice over Packet processing, today announced that Spectrum's flexComm product line for wireless communications is being used in a joint Communications Research Canada (CRC) and Defence Research and Development Canada (DRDC) software defined radio project targeted for implementation by military organizations throughout the world.

The target of the CRC/DRDC project is a software defined radio architecture that allows the user to plug in different waveforms such as GSM, W-CDMA, or FM and switch between air interfaces, and integrate with different wireless systems. flexComm's software programmable radio technology offers numerous advantages over the inflexible implementation of previous radio designs. The programmable technology allows for enhancements and interoperability through software downloads without having to alter or purchase new radio hardware, thereby offering a significant cost savings. It also allows users to reconfigure generic hardware and tailor its capabilities to their individual needs through the use of software, saving critical time-to-market.

This CRC/DRDC project is the first JAVA implementation that is in compliance with the Software Communications Architecture (SCA) from the Joint Tactical Radio System (JTRS) specification that was issued by the United States Department of Defense. JAVA is a programming language designed to generate applications that can run on all hardware platforms, small, medium and large, without modification. The goal of JTRS, a $4 to 9 billion market in the US alone, is to migrate today's legacy radio systems to systems compliant with the JTRS open-systems architecture. By building upon a common open architecture, JTRS will improve interoperability by providing the ability to share waveform software between radios. This is critical in order to enable military forces from different organizations to communicate with each other. In addition, the JTRS dictates that systems be designed so that they are easily upgraded to new technologies to protect them from obsolescence in the wake of technology advancement.

"Software defined radio is an emerging technology for the Government and Commercial wireless markets that Spectrum is at the forefront of enabling through the use of our reconfigurable hardware platforms," said Brian Lowe, Vice President of Wireless Systems, Spectrum Signal Processing. "The use of Spectrum's flexComm products in the joint CRC/DRDC project endorses Spectrum's ability to offer Commercial-Off-The-Shelf (COTS) high-density signal processing solutions that are a perfect fit for military communications programs."

"We believe that software defined radios are the technology of the future and will replace existing legacy radios in the battlefield. The advantages of a single, reconfigurable platform supporting multiple waveforms for both terrestrial and satellite communications cannot be overstated," said Robin Addison, leader of the CRC/DRDC Reconfigurable Omni-Band Radio Project.

About CRC

The CRC provides national leadership in collaborative research and development on innovative communications, broadcasting and information technologies for a strong Canadian knowledge-based economy.

CRC's centre of expertise in satellite communications performs leading-edge R&D to help determine the evolution of future satellite communications networks, and aids industry development through technology transfer. CRC carries out research and development on military satellite communications under tasking from National Defence. On behalf of the Canadian Space Agency, CRC manages the implementation of the major portion of the satellite communications component of the Canadian Space Plan. It serves as the contract and technical authority on multi-million dollar industrial development contracts. CRC also collaborates with satellite service providers and users by developing and demonstrating applications such as telemedicine and tele-education. CRC's website is http://www.crc.ca.

About DRDC

For more than 50 years, Defence R&D Canada (DRDC) has been providing scientific excellence to the Canadian Forces (CF) to help maintain the defence and security needs of the nation. DRDC exploits emerging technologies and scientific advances to increase the effectiveness of the CF, and supports the Canadian economy through the transfer of this technology and knowledge to private industry.

DRDC's goal for the 21st century is to build upon its past success by becoming an even more responsive and effective team member working with the Canadian military, and alongside industry and academia. Its commitment is to continue to provide the CF with relevant and timely technologies, while at the same time offering attractive collaborative opportunities to Canadian industry. DRDC's website is http://www.drdc-rddc.dnd.ca.

About Spectrum Signal Processing

Spectrum Signal Processing is a leading provider of high-density wireless signal and Voice over Packet processing systems for customers in the communications infrastructure market. Spectrum's proprietary hardware and software systems are used in communications gateways, cellular and satellite base stations and government wireless systems. Spectrum's Wireless Systems group is focused on supplying solutions for air-to-infrastructure wireless applications such as cellular base stations, satellite earth stations, wireless receivers, cellular fraud prevention and spectrum monitoring. Spectrum's extensive flexComm Wireless Communications product line consists of high channel density narrowband and wideband solutions, as well as baseband processing engines, on a variety of platforms including CompactPCI, PCI, VME and VXI.

Spectrum's website is at www.spectrumsignal.com and the head office is located at One Spectrum Court, #200 - 2700 Production Way, Burnaby, B.C., Canada. Phone [phone]; fax [phone].

This news release contains forward-looking statements. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties, including the timely development and acceptance of Spectrum's new products, the impact of competitive products and pricing, availability of components, changing market conditions and the other risks detailed from time to time in other company filings. Actual results may differ materially from those projected. These forward-looking statements represent the company's judgment as of the date of this release and Spectrum may or may not update these forward-looking statements in the future.