News Release Details

Wi-LAN Establishes U.S. Organization to Spur Revenue Growth and Solidify Presence

06/28/2000


Wi-LAN Wireless Data Communications Inc. Management Team Boasts Significant U.S. Telecommunications Experience


Calgary, Alberta
June 28, 2000

Wi-LAN Inc. (TSE:WIN), an innovator in wireless data/Internet communications products and technology, today strengthened its presence in the lucrative U.S. wireless market, announcing Wi-LAN Wireless Data Communications Inc. to lead the company's U.S. operations.

"Establishing Wi-LAN Wireless Data Communications recognizes the importance of the U.S. market for Wi-LAN technologies and products," said Dr. Hatim Zaghloul, Wi-LAN chairman and CEO. "Not only is a U.S.-based operation positive for sales of our technologies and products, it also gives Wi-LAN improved access to the enormous pool of local talent." 

U.S.-Based Team Has Significant U.S. Experience:
The U.S. market for broadband wireless equipment is estimated to be worth $2.2 billion by 2005. Wi-LAN Wireless Data Communications features a senior management team uniquely qualified to understand and meet the needs of U.S.-based original equipment manufacturers, service providers, and businesses. The company's senior management team includes:

* Andy Salazar, president. Andy is also CEO of Wi-LAN subsidiary Digital Transmission Systems Inc (DTS), a U.S.-based company that designs, manufactures and markets products for wireless telecommunications networks. Prior to joining DTS in 1994, Andy was a vice President and general manager at AT&T Paradyne. Before that, he was a senior vice president of operations for Avanti Communications.

* Dr. Gordon Stuber, vice-president, research. Since 1986, Gordon has been with the School of Electrical and Computer Engineering, Georgia Institute of Technology, where he is currently a professor. Dr. Stüber's research interests are in wireless communications and communication signal processing, particularly in the areas of coding and Orthogonal Frequency Division Multiplexing. He has over 130 refereed publications in books, journals and conferences in these areas. He is currently a member of the IEEE Communication Society Awards Committee, and co-chair of the 2000 IEEE Workshop on Multimedia, Multiaccess and Teletraffic for Wireless Communications.

* Mehdi Asgharzadeh, business development vice-president. Based in Palo Alto, California, Mehdi has over 15 years international experience in developing and delivering communications broadband access products, developing and executing strategic roadmaps, establishing technology alliances, and leadership within telecommunications and networking industries with Nortel, Alcatel, National Semiconductors and Motorola. Prior to joining Wi-LAN, Mehdi was general manager of the broadband infrastructure business unit at Com21 Inc. 

"I'm thrilled to be heading up Wi-LAN's new U.S. company," said Andy Salazar, Wi-LAN Wireless Data Communications president and CEO of DTS. "We've assembled a top-notch management team who knows the U.S. telecommunications industry inside and out. My dual leadership role will ensure that the activities of all Wi-LAN's U.S. operations are closely aligned."

Led by Larry Baumgart, vice-president, sales, who has more than 20 years sales experience in the telecommunications and information technology industries, Wi-LAN's U.S.-based sales team has grown to include individuals with extensive experience at Cisco, AT&T, Lucent and other leading U.S. companies. Sales offices have been established in Texas, Florida, California, and Washington.

Wi-LAN Strongly Positioned in the U.S.:
Wi-LAN has made several significant strides to fortify its position in the U.S. market, including a major supply agreement with a company created to deploy an advanced wireless broadband network and strong involvement with two U.S. companies through an acquisition and subsequent merger.

Working on a network concept for more than two years, Wi-LAN and 4G Network Technologies recently announced a U.S. $31 million 18-month purchase order as part of a five-year supply agreement. In this agreement, 4GNT will use the company's I.WiLL(tm) System broadband wireless access products to construct a national U.S. and international high-speed broadband wireless network. 4GNT is scheduled to begin commercial fixed wireless service in fall 2000 with consumer services beginning in spring 2001, expanding to mobile service and multiple markets within 18 months.

Wi-LAN gained a seasoned and dynamic management team, increased access to the U.S. marketplace, a visionary engineering team, and access to key DTS telecommunications clients when the company acquired Digital Transmission Systems, Inc. (DTS), an Atlanta-based telecommunications network access equipment manufacturer. DTS's primary customers are domestic wireless service providers, including those offering cellular telephone services and Personal Communications Services, and domestic and international resellers who sell to and service end users with telecom equipment. The customers include Nextel, ALLTEL Wireless and ALLTEL Supply, AirTouch, GTE Wireless and Somera Communications.

Wi-LAN has licensed Wi-LAN Wideband Orthogonal Frequency Division Multiplexing (W-OFDM) technology to DTS for development of products for the burgeoning LMDS wireless equipment market, estimated to be valued at $765 million by 2004. This will give U.S. service providers focused on LMDS the ability to use Wi-LAN's W-OFDM technology in broadband wireless access networks.

In March, DTS merged with Telcor Communications, a private telecom equipment supplier that specializes in reselling new and de-installed telecommunications equipment to telecom service providers, in a move to enhance the sales and distribution for current DTS products. The acquisition also strengthened DTS' sales and marketing distribution channel, as Telcor serves customers such as Ameritech, US West Wireless, Houston Cellular, Bell Atlantic, GTE Mobilnet, AirTouch Cellular and Lucent and has sales locations in Georgia, Colorado, Maryland, Illinois and Texas. 

"The fruits of initial inroads made in the U.S. are paying off," said Dr. Zaghloul. "We expect our Wi-LAN advancement into U.S. to continue. We currently have several opportunities in the works, including additional acquisitions and other developments aimed at growing Wi-LAN's U.S. revenue stream." 

Wi-LAN Products, Technologies Well-Suited for
the U.S. Market:

Wi-LAN's broadband wireless products are specifically designed for mass market rollout by service providers in densely populated U.S. areas. 

Service providers in the U.S. are looking to deploy cost-effective broadband wireless access networks in the MMDS licensed frequency band. Wi-LAN has announced the world's first W-OFDM wireless products priced below U.S. $500 to meet this requirement. Capable of data rates of 32 megabits per second (Mbps), the new products will be remote units designed to work with a complementary point of presence (POP) base station. Wi-LAN will offer both products as part of the company's I.WiLL family of broadband wireless access solutions.

Wi-LAN high speed, low-cost leadership in the U.S. market is enabled by application specific integrated circuit (ASIC) chips that use W-OFDM technology. Jointly developed by Wi-LAN and Philips Semiconductors as part of a licensing agreement between the two companies, the chips will be integrated into the company's W-OFDM broadband wireless access products for delivery this fall. The chips are also expected to be used in products developed for the home multimedia 

Not only will these ASIC chips ensure low-cost Wi-LAN broadband wireless products, Philips will use the circuits for its consumer electronics products, bringing in a steady revenue stream for Wi-LAN and increasing the company's profile in the consumer electronics market. The chips will also be available for sale to interested companies for use in various products. 

Wi-LAN is focusing on increasing awareness and interest in the company's technologies and products in the U.S. market. In March, Wi-LAN exhibited at the Broadband Wireless World Forum in San Francisco and in June, the company was at SUPERCOMM 2000, world's largest annual communications technology exhibition and conference held in Atlanta. In addition, Wi-LAN's channel program includes several U.S.-based partners, making Wi-LAN products widely available in this market from coast to coast.

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