PowerDsine Grants License for Power over Ethernet Midspan Patent to Netstar

Business Wire, August 23, 2005

MELVILLE, N.Y. & HOD HASHARON, Israel -- PowerDsine Ltd. (Nasdaq:PDSN), a pioneer in Power over Ethernet (PoE) solutions, announced today that it has granted a license to Netstar Technology Corporation of Taiwan for use of PowerDsine's U.S. Patent 6,473,608 in connection with the manufacture and sale of PoE Midspan products.

"We are very pleased that Netstar has agreed to license our patented PoE technology," said Simon Kahn, Director of Intellectual Property at PowerDsine. "This agreement is a continuation of PowerDsine's intellectual property strategy of providing licenses to companies that wish to market Midspan PoE products."

PowerDsine's US patent 6,473,608 addresses an Ethernet LAN, in which "power enabled" elements are detected so that power can be distributed safely via spare pairs of an Ethernet cable to those elements without affecting legacy devices. Such legacy devices might include wireless LAN access points, network-based cameras and VoIP phones. The patent covers PoE Midspan products that connect to an Ethernet switch in order to PoE-enable an enterprise network.

PowerDsine has been granted similar patents in China, Taiwan, Singapore, Australia, New Zealand and South Africa. In addition, PowerDsine has patent applications covering this technology pending in Europe and five other countries.

About Power over Ethernet Technology

PoE is a technology for wired Ethernet, the most widely installed local area network technology in use today. PoE allows the electrical power necessary for the operation of each end-device to be carried by data cables rather than by separate power cords. It minimizes the number of wires that must be used in order to install the network, resulting in lower cost, less downtime, easier maintenance and greater installation flexibility.

About PowerDsine

PowerDsine Ltd. (Nasdaq:PDSN) designs, develops and supplies integrated circuits, modules and systems that enable the implementation of Power over Ethernet in local area networks, providing the capability to deliver and manage electrical power over data network cables. PowerDsine offers integrated products and system solutions to communications equipment manufacturers in the telecom and datacom industries who incorporate them into, or bundle them with, their products. PowerDsine is a founding member of the IEEE 802.3af Task Force. For more information, please visit http://www.powerdsine.com

Forward Looking Statements

Statements made in this press release that are not historical facts, including statements regarding our expectations of future events or our future financial performance, are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions about PowerDsine and the matters covered in this release. You should not place undue reliance on these statements. Actual events or results may differ materially. Many factors may cause our actual results to differ materially from any forward looking statement, including acceptance of new products, costs relating to such products and other factors detailed in PowerDsine's filings with the Securities and Exchange Commission, including its Registration Statement on Form F-1. The forward-looking statements are made as of this date and PowerDsine does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

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