New FCC Rules Clear Way for Aperto Networks to Ship Industry's Highest-
Performing Wireless Access Systems to US Carriers

Aperto widens lead in capacity, coverage and cost-effectiveness in 5 GHz band;
systems serve SME, SOHO and Wi-Fi backhaul applications

Milpitas, Calif., February 3, 2003 - Aperto Networks, a leading provider of new generation scalable broadband wireless access systems, announced today that it is now shipping the industry's highest performing broadband wireless access systems in the overlapping 5.8 GHz U-NII and ISM bands, in compliance with new FCC rules. The company is now deploying enhanced, FCC-certified systems for SME, SOHO and Wi-Fi backhaul applications in the ISM 5.725 - 5.850 GHz spectrum.

Aperto's PacketWave® is uniquely suited to capitalize on FCC rules (Part 15.247) which now allow the use of additional digital modulation techniques in the ISM band and thus enable higher peak usable power for 5.8 GHz non-spread spectrum wireless access systems than for U-NII systems.

"Our enhancements more than double the coverage footprint for carriers, at wireline equivalent quality and high spectral efficiency," stated Aperto vice president of marketing Alan Menezes. "This improved coverage comes from a combination of higher power radios which increase cell radius from 5 to 8 miles, best-in-class 20 Mbps capacity in a narrow 6 MHz channel size, and improved interference resilience which enables multiple service providers to operate in the same area. By now operating in the 5.8 GHz ISM band, we are boosting available spectrum by 25%, an increase from 16 to 20 non-overlapping 6 MHz channels, versus the typical competitive norm of 5 wide channels."

"We have further increased PacketWave's value to carriers by now supporting 6-sector as well as 4-sector configurations," continued Mr. Menezes. "This effectively corresponds to a 50% increase in subscriber capacity per base station. Aperto's coverage enhancements and per-subscriber link optimization provide a performance edge that will be extremely difficult for any other vendor in the unlicensed bands to match."

"Aperto's enhancements in radio range and large number of usable channels make PacketWave's strong economic proposition even stronger," explained Philip Urso, CEO and founder of Boston wireless ISP TowerStream. "We serve dense urban areas, and have determined that we can extend our coverage even further with 50% fewer cells. Serving 50% more subscribers per cell is obviously great for our margins and capex reduction. We will now be able to accomplish this at the same high quality, link robustness and service reliability our customers have come to depend on."

"The uptake of fixed wireless among SMEs and larger enterprise branch locations is impressive," stated Lindsay Schroth, analyst in broadband access technology strategies with Yankee Group. "Aperto Networks is shrewdly exploiting this opportunity from the FCC rule changes to make wireless services even more economically attractive to businesses and carriers."

"We believe that the FCC rule changes and developments to leverage them will be a great stimulant to growth in the 5 GHz band in the United States, significantly increasing market deployment," emphasized Mr. Menezes.

About Aperto Networks
Aperto Networks is a leading provider of multiservice broadband wireless access systems for global markets. The company was founded to provide a breakthrough solution to one of today's critical network bottlenecks - last-mile broadband access. Aperto's practical, scalable systems and patent-pending technologies support new wireless builds and complement existing wireline broadband access technology. Shipping to carriers since 4Q 2001, the company has delivered commercial systems to over 20 countries, meeting their need for rapid network deployment, multiservice scalability, ease of installation, IP-rich network functionality, and cost-effectiveness. Aperto dramatically shortens the lengthy provisioning cycles for broadband services by enabling rapid service provisioning across dense urban to suburban locations. Investors in Aperto include Alliance Ventures, Canaan Partners, Tyco Ventures, Innovacom (France Telecom), Stratex Networks, Oki Electric Industry Company, Mitsubishi International Corporation, Ridgewood Capital, Satwik Ventures, Redwood Ventures and Labrador Ventures. For more information on Aperto Networks, go to