NextWave Wireless Announces Full Year Financial Results for 2006

Business Wire, April 2, 2007

Revenues Exceed $24 Million in First Full Year of Operation

SAN DIEGO -- NextWave Wireless Inc. (NASDAQ: WAVE) a global provider of mobile broadband and wireless multimedia products and technologies to enable Wireless 2.0, the next generation of mobile communications, today announced financial results for the full year ended December 30, 2006. Financial highlights for the year included revenues of $24.3 million from the Company's PacketVideo subsidiary, which reflects the recently announced restatement, net loss per share of $(1.28) on a diluted GAAP basis, the issuance of Senior Secured Notes resulting in gross proceeds of $297.5 million, the expansion of the company's licensed spectrum footprint in the United States to approximately 248.9 million persons, or POPs, and the completion of several strategic acquisitions to enhance NextWave's product portfolio and global development capabilities.

"The financial results achieved by the company are consistent with our expectations and reflect the successful growth strategy we implemented when we formed NextWave Wireless in April 2005," said Allen Salmasi, chairman and chief executive officer of NextWave Wireless Inc. "Our business activities will continue to be focused on providing our partners and customers with the leading-edge wireless broadband products and technologies they need to deliver next-generation mobile broadband solutions to businesses and consumers."

Selected Fiscal Year 2006 Business Highlights

* Significantly strengthened and grew the engineering team engaged in developing semiconductor products and network components, based on WiMAX and Wi-Fi technologies, at the Advanced Technology Group, a division of the company's NextWave Broadband subsidiary, located in San Diego, California.

* Acquired CYGNUS Communications, Inc., a developer of WiMAX semiconductor solutions, in February 2006 for $9.8 million. CYGNUS' 802.16-2004 PHY design was one of the first commercial WiMAX products available in the industry. CYGNUS now operates as part of the Advanced Technology Group, a division of the company's NextWave Broadband subsidiary.

* Successfully completed three strategic acquisitions, one in United States and two in Europe, to greatly increase the technology breadth and product portfolio of the company's PacketVideo subsidiary, which provides device-embedded multimedia software solutions to many of the largest wireless handset manufacturers and wireless carriers in the world.

* Acquired additional licensed spectrum in the AWS and WCS bands to expand the company's wireless spectrum footprint in the U.S. to over 248 million POPs.

* Acquired nationwide WiMAX spectrum in Germany, covering 82.5 million POPs, through a majority owned joint venture.

* Issued, in July 2006, $350 million of 7% Senior Secured Notes, with gross proceeds of $297.5 million, for the sole purpose of financing wireless spectrum acquisitions and leases.

* Completed a corporate conversion of NextWave Wireless LLC in November 2006, registered its shares under the Securities Act of 1933, and commenced trading on NASDAQ under the symbol WAVE.

"In the twenty months since our inception in April 2005, we have successfully built a solid foundation for corporate growth, and we remain optimistic about what 2007 holds for our company. We expect to expand our commercial product offerings, expand our domestic and international licensed spectrum footprint, augment our engineering team, and execute on strategic acquisitions to allow us to take full advantage of what we see as exciting growth opportunities in the mobile broadband and wireless multimedia marketplace," Mr. Salmasi added.

[TABLE OMITTED]
    (1) On November 13, 2006, NextWave completed a corporate
        conversion merger, whereby a wholly-owned subsidiary of
        NextWave Wireless Inc. was merged with and into NextWave
        Wireless LLC ("Corporate Conversion Merger"). As a result of
        the merger, NextWave Wireless LLC became a wholly-owned
        subsidiary of NextWave Wireless Inc. Under the terms of the
        merger agreement, NextWave Wireless Inc. issued shares of its
        common stock to holders of NextWave Wireless LLC's membership
        units in exchange for all of the outstanding membership units
        of NextWave Wireless LLC, with NextWave Wireless LLC unit
        holders receiving one share of NextWave Wireless Inc. common
        stock for each six membership units of NextWave Wireless LLC
        that they held.

    (2) On April 13, 2005, pursuant to the plan of reorganization of
        the NextWave Telecom group (NTI), NextWave's equity securities
        were distributed to the NTI equity holders and we were
        reconstituted as a company with a new capitalization and a new
        wireless technology business plan.

    (3) Loss per share information is not presented for the period
        from inception (April 13, 2005) to December 31, 2005 as it
        would not be meaningful due to the Corporate Conversion Merger
        which occurred on November 13, 2006.

    (4) On July 17, 2006, NextWave issued 7% Senior Secured Notes due
        2010 (the "Notes") in the aggregate principal amount of $350.0
        million. The Notes were issued at a fifteen percent (15%)
        original issue discount, resulting in gross proceeds of $297.5
        million. NextWave is required to maintain a minimum balance of
        $75.0 million in cash or cash equivalents from funds other
        than the proceeds of the Notes in a restricted collateral
        account at all times while the Notes remain outstanding.