MobileStar Unwires Dallas With Broadband Wireless Internet Access; MobileStar Expands Coverage in Dallas/Fort Worth Metroplex

Business Wire, Sept 5, 2001

Business Editors & High-Tech Writers

RICHARDSON, Texas--(BUSINESS WIRE)--Sept. 5, 2001

MobileStar Network Corporation, an award-winning provider of broadband wireless Internet access in public hot spots, today officially launched its expanded service in Dallas/Fort Worth, which includes approximately 90 locations. Dallas is the first of several cities to expand its high-speed wireless service into airports, Admirals Clubs, hotels, meeting centers and Starbucks coffeehouse locations.

The MobileStar high-speed wireless Internet service is easily accessible with a laptop, pocket pc or handheld device that is enabled with a wireless network card. This card can be purchased at computer retailers nationwide and is available for approximately $70. By simply launching their Web browser, users have the luxury of wireless broadband connectivity for as little as $2.95 with no contractual commitment. Additionally, MobileStar offers users subscriptions ranging from $15.95 to $59.95 per month for unlimited national coverage, and features a pre-paid service, where customers can purchase minutes and consume them at their convenience. Cards are sold in $10, $20 and $50 increments at certain computer retailers as well as through www.mobilestar.com.

"Consumers expect high-speed connections when surfing the Internet, checking emails and transferring large files at the office and home, now they're beginning to expect and request this connectivity and service around town as well. MobileStar has expanded the breadth of coverage into the public domain at public hot spots such as hotels, airports and coffeehouses. Our service is an extension of this office and home experience and we're confident that once people try the service they will want more of it," said Robert Kaiser, president and CEO of MobileStar. "With our service, business people looking for off-site meeting areas, SOHOs with limited bandwidth capabilities, local real estate agents, photographers and on-the-go students have computing freedoms never before realized."

"MobileStar is quickly expanding in its existing role as the dominant U.S. player in public Wi-Fi coverage," said Amy Cravens, industry analyst for Cahners In-Stat. "With the addition of the Starbucks deployments, MobileStar owns the largest Wi-Fi footprint in Dallas, as well as across the nation."

In coordination with this launch, MobileStar is announcing a new local area subscription plan for $29.95 per month for unlimited usage within the Metroplex. Under this plan, patrons have the freedom to visit all Dallas/Fort Worth locations including all D/FW Airport gates and terminals, American Airlines Admirals Clubs, American Airlines gates at Love Field Airport, selected local hotels and more than 70 Starbucks coffeehouse locations. For a complete listing of locations visit www.mobilestar.com.

How to Get Started

Consumers interested in accessing the MobileStar network will need:

-- A laptop, pocket PC or handheld device with Wi-Fi (IEEE 802.11b) wireless
LAN capability, either through the use of a wireless network card or through
pre-installed capability

-- Any standard Internet-ready Web browser on any operating system

-- MobileStar also recommends that you use a personal firewall and Virtual
Private Network for security purposes

MobileStar operates on the 802.11b wireless LAN standard to give mobile professionals wireless access to the Internet or their corporate Intranet at T-1 speeds in more than 650 locations across the country. The company plans to expand its footprint, which includes airports, hotels, conference centers, restaurants and coffeehouses across the country.

About MobileStar Network Corporation

MobileStar Network Corporation, headquartered in Richardson, Texas, is the leading provider of broadband wireless Internet access for business travelers in hot spots such as airports, hotels, conference centers, restaurants, coffeehouses and other public places in the United States. Currently more than 650 locations are in operation providing easy-to-use, reliable wireless Internet connectivity at speeds up to 50 times faster than typical dial-up modem connections and up to 100 times faster than other current wireless technologies. Since its inception in 1996, MobileStar has created the largest wireless broadband data communications network designed to give mobile professionals access to the Internet and their corporate intranets remotely. The MobileStar network utilizes both popular WLAN technologies - Wi-Fi (IEEE 802.11b, Direct Sequence) and OpenAir (Frequency Hopping). MobileStar recently won the 2001 Network Computing Well-Connected Award in the category of "Most Innovative New Wireless Data Service." The company received its funding from investors such as Mayfield Fund, Blueprint Ventures, Norwest Venture Partners, Sienna Holdings and Texas Pacific Group. For more information, visit the MobileStar website at www.mobilestar.com.

MobileStar is a service mark of MobileStar Network Corporation.

12-month contract required on all monthly subscription plans. Some of the statements in this Press Release discuss future expectations or state other "forward looking" information relating to the future results of the Company. These statements involve risks, uncertainties, assumptions, contingencies and other factors that may cause actual results to differ materially and adversely from those expressed in these forward-looking statements. These factors include the Company's competitive environment, the risk that the Company's deployment rate will not progress as anticipated, the risk that the Company's subscriber base will not continue to increase and the risk that the Company will not be able to reach agreements with potential investors regarding capital investment. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by this notice.