USURF America Offering Free Customer-Premises Modems, Free Installation and Free First-Month's Wireless Internet Service.

Business Editors/Technology Writers

BATON ROUGE, La.--(BUSINESS WIRE)--Feb. 2, 2000

Aggressive Strategy Key Facet of National Quick-Cell Rollout

and Fixed-Wireless Internet Customer Sign-Ups

USURF America, Inc. (AMEX: UAX), a provider of Fixed-Wireless Internet access products, including Quick-Cell(TM), announced the start of its aggressive growth plan designed to achieve rapid mass deployment of its Fixed-Wireless Internet access service. The strategy features:

- Free Customer-Premises Modems

- Free Installation and Set-up

- Free First-Month's Wireless Internet Access Service

By offering its Quick-Cell Fixed-Wireless Internet access for no up-front cost, USURF America believes it will be able to capture a significant share of the expanding Fixed-Wireless Internet market segment in each of its local markets. By the end of 2000, USURF America intends to have established a Quick-Cell system in 110 U.S. cities.

Albuquerque, Santa Fe and Las Vegas, NM are the first three markets in which USURF America is implementing its &uot;Free&uot; marketing strategy. USURF America has classified Albuquerque is a tier-one, or large, market, Santa Fe as a tier-two, or medium, market and Las Vegas, NM as a tier-three, or small, rural, market. USURF America believes the Quick-Cell system is capable of attractive margins in all three market sizes. The first 500 Quick-Cell customer-premises modems have been shipped to these New Mexico cities.

David Loflin, President of USURF America, said, &uot;our relatively low manufacturing costs and attractive margins on Fixed-Wireless Internet access sales, despite pricing our service at up to 60% below the cost of local-market, equivalent hard-wire service, makes free customer modems an economically feasible way for us to acquire customers. We are convinced that it gives us a powerful competitive advantage in any market.&uot;

&uot;Our company is not focused on deriving revenue from equipment sales; rather, we will focus on maximizing customer growth, because we are able to achieve those very attractive margins, while at the same time making it easy and inexpensive for our customers to go wireless,&uot; continued Mr. Loflin.

When asked for comment, James Kaufman, USURF America's director of corporate development, said, &uot;we have the opportunity to radically reshape the Wireless Internet access industry, changing it from a 'push market' constrained by inflexible and expensive customer equipment and service, to a 'pull-through market', in which free modems and low-cost, high-speed Fixed-Wireless Internet access create tremendous consumer demand. We believe access to Fixed-Wireless Internet access with up to 60% monthly savings, with free installation, is truly ground breaking.&uot;

USURF America intends to own, operate and service all of its Quick-Cell systems.

USURF America's Quick-Cell represents one of the most flexible Fixed-Wireless Internet access solutions on the market. The Quick-Cell system operates in unlicensed spectra and can be easily and inexpensively deployed (on a rooftop, tower, etc.) in days or even hours, and does not require right-of-way permission from local municipalities. A single Quick-Cell can operate as a stand-alone for 3.5 mile radius coverage, or any number of Quick-Cells can be interfaced to serve a broader geographic area.

USURF America's Quick-Cell system is capable of delivering Internet access speed equivalent to T1, 728Kbs, 512Kbs, 256Kbs, 128Kbs and 64Kbs, depending on a customer's needs. In other words, the Quick-Cell system replicates T1, DSL and ISDN service. Because USURF America does not have to lease parts of its network from local &uot;telecos&uot;, it can price &uot;always on, all-you-can-use&uot; Fixed-Wireless Internet access at up to 60% below the cost of installation and implementation of traditional, local-market hard-wire service. The Quick-Cell system requires no telephone or other wall jack connection for customers to connect to an Internet server over the so-called &uot;last mile&uot;.

The Quick-Cell bandwidth speed is scaleable from a remote location, as is the customer-premises modem speed, thus, enabling customers to increase or decrease bandwidth as necessary. Also, USURF America's proprietary system control software allows it to monitor easily all bandwidth usage within each of its Quick-Cell systems, all from a single location.

USURF America has set the price of T-1 equivalent bandwidth in the Albuquerque, Santa Fe and Las Vegas, NM markets at $359.00 per month. Interested parties should call [phone] for more information or to schedule installation.

This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The statements involve a number of known and unknown risks and uncertainties that may cause USURF America's actual results or outcomes to be materially different from those anticipated and discussed herein. These include its historical lack of profitability, the need for additional capital, end-use customers' acceptance of new products and actual demand, which may differ significantly from expectations, the need for USURF America to manage its growth, and other risks associated with a development-stage company.