Millennium Communication Network AG Deploys Ceragon Networks' FibeAir System for Broadband Wireless Network in Austria

Business Wire, Dec 13, 2000

Business Editors and High Tech Writers

TEL AVIV, Israel--(BUSINESS WIRE)--Dec. 13, 2000

Ceragon's New Regional Office Supports European Growth Strategy

Ceragon Networks Ltd. (Nasdaq:CRNT), a global provider of high-capacity broadband wireless systems for next generation communications networks, announced today that Millennium Communication Network (MCN) has commenced deployment of Ceragon's FibeAir systems to provide a broadband wireless infrastructure for its SDH network in Austria.

MCN provides business customers with high-speed Internet, data and video services over a combined network of fixed broadband wireless, fiber and unbundled copper. Ceragon's commercially proven FibeAir product family will enable MCN to seamlessly connect SDH rings to IP and Fast Ethernet applications, using a single, carrier-class technology. MCN has network deployments underway in Vienna and plans to expand throughout Austria. Ceragon's partner and system integrator, The ITM Group, is providing project management, including system installation, local support and maintenance.

"We have very high standards for network speed and reliability, which is why we selected Ceragon," said Markus Schreiber, head engineer of backbone network, MCN. "Ceragon's wireless networking systems are flexible and rapidly deployed, which will enable us to expand our service offering. The FibeAir system is allowing us to quickly roll out our network to generate immediate revenue."

To meet the needs of new customers in Austria, Germany and Switzerland, and to deepen its market penetration in the region, Ceragon opened a regional office in Munich, Germany. The office supports Ceragon's existing customer base in the region, which includes service providers and enterprises.

"Working with MCN reinforces Ceragon's focus on meeting the emerging European market demand for high-capacity connectivity solutions," said Shraga Katz, president and CEO, Ceragon Networks. "MCN is the second service provider in Austria to install Ceragon's broadband networking equipment. Our strategy of creating regional support services has laid the foundation for Ceragon's ongoing success."

"Ceragon's broadband wireless equipment has been commercially deployed by The ITM Group in Germany, Austria and Slovakia since 1998," said Wolfgang Krones, CEO, ITM Austria. "Following our success working with Ceragon on the United Telecom Austria project, we knew that its FibeAir product family was the optimal solution for MCN's broadband wireless networking needs."

About Ceragon Networks Ltd.

Ceragon Networks Ltd. is a pacesetter in broadband wireless networking systems, enabling high-capacity connectivity in metropolitan areas. Uniquely designed for high-growth, global communications service providers to generate immediate revenue, Ceragon's commercially proven intelligent broadband network solutions support high-speed Internet access and integrated data, video and voice services. Ceragon's FibeAir product family operates across multiple licensed frequencies from 18 to 38 GHz while complying with North American and International standards and delivering IP, SONET/SDH and ATM broadband networks. Ceragon's products enable quick and cost-effective connections for capacity constrained business customers within their own networks, or as a gateway onto the backbone infrastructure. Founded in 1996, Ceragon is headquartered in Tel Aviv, Israel, with North American headquarters in New Jersey and European Headquarters in the UK. More information is available at www.ceragon.com. Ceragon Networks - the shape of next generation networks.

About Millennium Communication (MCN) Network AG

Millennium Communication Network (MCN AG) is an Austrian-owned multimedia and telecommunications service provider offering alternative telecom services via its own backbone and Internet services for private clients. MCN started its Austria-wide rollout in October 1999 and within a period of only six months, had installed more than 100,000 connections, over 70% of which are in the business sector. MCN sets new standards in the fields of voice, data, and video transmission with its broadband, high-performance network, which permits high-speed data transmission with the highest standards of reliability and security against failures, coupled with the most economic tariffs. With aims to become a Central-European multimedia organization, MCN has established subsidiaries in the Czech Republic, Hungary, Croatia and Slovenia. More information is available at www.mcn-tower.com.

Certain statements concerning Ceragon's future prospects are "forward-looking statements" under the Private Securities Litigation Reform Act of 1995. There can be no assurances that future results will be achieved, and actual results could differ materially from forecasts and estimates. Important factors that could cause actual results to differ materially from forecasts and estimates include: Ceragon's limited operating history and history of losses; Ceragon's dependence on a limited number of key customers, independent manufacturers and suppliers; Ceragon's ability to increase its manufacturing capacity; and the demand for Ceragon's products. These risks and uncertainties, as well as others, are discussed in greater detail in Ceragon's filings with the Securities and Exchange Commission. Ceragon makes no commitment to revise or update any forward-looking statements in order to reflect events or circumstances after the date any such statement is made.