ShareWave Announces New Financing With Strategic Investors Ameritech, Cisco, Intel, and Philips; $25 Million Raised to Support ShareWave's Home Networking Strategy

Business Wire, Oct 5, 1998

EL DORADO HILLS, Calif.--(BUSINESS WIRE)--Oct. 5, 1998-- ShareWave, Inc., an ingredient technology supplier of multimedia digital wireless home networking technology, today announced it has raised $25 million in financing from a group of new and current investors, including Ameritech (NYSE:AIT), APV Technology Partners, Cisco Systems (Nasdaq:CSCO), Intel Corporation, Philips Electronics NV (NYSE:PHG), Softbank Technology Ventures, and Paul Allen's Vulcan Ventures.

ShareWave will use the proceeds to further its product engineering, marketing, and technology development efforts, as ShareWave continues to propel its vision of the Multimedia Furnace(TM) as the optimum model for digital convergence in the home.

"ShareWave is excited to have as investors such highly regarded companies in the computing, networking, and consumer electronics industries," said Jim Schraith, ShareWave President and CEO. "We believe these new strategic investments will play a significant role in the realization of ShareWave's Multimedia Furnace vision."

At the core of the Multimedia Furnace model is ShareWave(TM) Digital Wireless, a portfolio of ingredient networking technologies. This portfolio consists of patent pending developments in the areas of compression, network protocols, RF radios, and network interfaces.

ShareWave Digital Wireless is the only home networking technology that provides for high bandwidth, wireless digital connections capable of sharing interactive multimedia content among appliances in the home. ShareWave is the first company to enable real-time delivery of full motion video across a digital wireless home network.

ShareWave's strategy is to pursue partnerships with leading companies in the computing, consumer electronics, and networking industries that will incorporate ShareWave Digital Wireless technology into in a variety of consumer devices.

"ShareWave technology enables consumers to connect their telephones, TVs, stereos and computers without the agony of rewiring their homes," said W. Patrick Campbell, executive vice president of Corporate Strategy and Business Development for Ameritech Corporation.

"Our investment in ShareWave reflects our complementary strategies to provide enhanced telephone, Internet, data and cable TV services to the consumer marketplace."

ShareWave envisions numerous digital appliances in the home that employ ShareWave Digital Wireless. These devices will wirelessly interconnect, resulting in the creation of a multimedia distribution network driven by a central hub -- which may be a personal computer, other future type of home server, or home gateway device. "Philips is a leading consumer electronics company providing solutions for the digital home. ShareWave Digital Wireless technology can deliver innovative solutions to some key problems experienced by today's digital consumers," said Roel Pieper, executive vice president of Philips Electronics.

The Multimedia Furnace vision benefits consumers by giving them the freedom to access multimedia content throughout the home -- how, when and where they want.

Additionally, because the appliances attached to this network can leverage many of the hardware and software resources of the home server or gateway, they are able to provide a high level of functionality at a very low cost. Finally, the Multimedia Furnace model provides a central upgrade point that alleviates rapid obsolescence of individual appliances.

ShareWave's strategy and technology provides seamless connectivity between external broadband gateways and digital appliances in the home.

"As the industry leader in providing products and technology that deliver broadband Internet access to the home, Cisco supports ShareWave's concept of in-home networking," said Robba Benjamin, Cisco's vice president of the Consumer Line of Business. "The combination of Cisco and ShareWave technology will provide people the ability to connect from their home to anyone, anywhere, anytime."

"ShareWave's technology provides tremendous synergy to our existing portfolio of Internet related companies by increasing the usage and utility of Internet content within the home," said Gary Rieschel, executive managing director, Softbank Technology Ventures.

Analysts predict rapid growth for the home networking market. According to Wedbush Morgan Securities, the home networking market in America will reach in excess of $4 billion in the year 2002.

About ShareWave

Founded in September 1996, ShareWave, Inc., is an ingredient technology supplier of multimedia digital wireless home networking technologies to the leaders of the computing, consumer electronics, and networking industries.

ShareWave's vision is to establish the Multimedia Furnace model in the home, providing consumers with unrestricted access to the digital content they want, where and when they want it. In June 1998, ShareWave introduced ShareWave Digital Wireless, a portfolio of networking technologies that enables multimedia digital wireless connections between appliances throughout the home.