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Netopia Introduces the World's Smallest ADSL Smart Modem; Compact and Cost-Effective Netopia 3342 ADSL Pocket Modem Enables Mass-Market Deployments and PC Bundling.

Business Editors/High-Tech Writers

EMERYVILLE, Calif.--(BUSINESS WIRE)--Jan. 13, 2004

Netopia, Inc. (Nasdaq:NTPA), a market leader in broadband equipment, software and services today announced the general availability worldwide of the new Netopia 3342 ADSL Pocket Modem. The Netopia 3342 Pocket Modem is the world's smallest ADSL smart modem designed specifically for mass-market deployments to single-PC broadband households. The Netopia 3342's cost-effective design and compact form factor will allow carriers and service providers to target cost-sensitive dial-up Internet users for broadband upgrades and to expand into other new and emerging sales channels such as bundling with sales of new PCs by manufacturers and OEMs.

The Netopia 3342 ADSL Pocket Modem combines a built-in ADSL modem and USB interface with built-in software specifically designed for easy customer self-installation, and reduced support costs for the service provider. The Netopia 3342 connects directly to the customer's USB port and is host-powered, eliminating the need for an external power supply. Using the same proven Netopia technology found in all Netopia ADSL smart modems, routers and gateways, the Netopia 3342 meets the stringent interoperability and performance requirements of leading carriers worldwide.

The Netopia 3342 is the ideal solution for carriers looking for an easy way to encourage their dial-up subscribers to convert to DSL. The Netopia 3342 is easy to use and can be installed by the least technical user in minutes. In addition, the compact form factor and lower cost of the Netopia 3342 open new opportunities in emerging broadband sales channels. For example, carriers and service providers now can enter into agreements to bundle the Netopia 3342 with new PCs.

"With the new Netopia 3342 Pocket Modem, Netopia is providing all the features of higher cost modems, including the added intelligence and diagnostic capabilities found in our other smart modems," said Jeff Porter, vice president of marketing at Netopia. "The innovative design and low cost of the Netopia 3342 should help our carrier and service provider partners continue to expand their broadband deployments with aggressive price elasticity programs and targeted market segmentation."

The Netopia 3342 is Netopia's first product released in the new Netopia Broadband Pocket Modem product line. Netopia is also releasing at the same time the Netopia 3352 Pocket Modem, the Annex B version, for deployment in certain European markets. Models under development include application-specific uses, such as a parental controls pocket modem and a teleworker VPN security pocket modem, all of which will use the same cost-saving and compact design as the Netopia 3342.

About Netopia

Netopia, Inc. is a market leader in broadband and wireless products/services that simplify and enhance broadband delivery to residential and business-class customers. Netopia's offerings enable carriers and broadband service providers to improve their profitability with feature-rich DSL smart modems, routers and gateways, software that simplifies installation and reduces ongoing support needs, as well as value-added services to enhance their revenue generation. Netopia's WiFi-CERTIFIED(TM) gateways include 3-D Reach(TM) technology delivering enhanced wireless range, security and performance.

Netopia's DSL smart modems, routers and gateways come with a suite of installation wizards and support utilities that offer a comprehensive approach to installation, deployment, service provisioning, application setup, self-diagnostics and troubleshooting. Netopia provides value-added services with its server software platform, including the netOctopus(R) suite of gateway and PC management and customer support software solutions, as well as the Web eCommerce server software. netOctopus Desktop Support and eCare software enable broadband service providers and enterprises to support customers and devices by remotely viewing and operating the desktop or other device.

Netopia has established strategic distribution relationships with leading carriers and broadband service providers including BellSouth, Covad Communications, EarthLink, Eircom, France Telecom, Hong Kong Telecom/PCCW, MegaPath Networks, Netifice, SBC Communications, Swisscom, Telecom Italia and Verizon.

Headquartered in Emeryville, Calif., Netopia's common stock trades on The Nasdaq Stock Market(R) under the symbol "NTPA." Further information about Netopia can be obtained via phone 510-420-7400, fax 510-420-7601, or on the Web at

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Publication:Business Wire
Geographic Code:1USA
Date:Jan 13, 2004
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