Magnolia Broadband and Uniquest Sign Key Distribution Agreement

Market Wire, November, 2004

Uniquest (KOSPI Code: 077500), a leading Korean semiconductor distributor, and Magnolia Broadband, Inc., a fabless semiconductor company and innovator of antenna diversity radio frequency (RF) solutions for the wireless industry, jointly announced today that the companies have signed a major distribution agreement. The pact authorizes Uniquest to sell, distribute, and service Magnolia's diversity handset chipsets to original equipment manufacturers in the Korean market.

This agreement builds on last month's news about the partnership between Magnolia Broadband and SK Telecom ("SK Telecom and Magnolia Broadband Sign a Broad Strategic Alliance Agreement") and supports the execution of these plans by using Uniquest as the distribution partner. These developments illustrate the momentum that Magnolia Broadband is achieving in its efforts to introduce, market and support its DiversityPlus(TM) handset chipset solution in the leading Korean market.

"We are very excited to represent Magnolia Broadband in the Korean marketplace and are confident that our strong presence and expertise in the region will help the company in its efforts to deploy its handset diversity technology with major handset OEM's," said Charles Lim, President and CEO of Uniquest. "We feel strongly that Magnolia's unique receive and transmit diversity antenna solution is ideally positioned for success in Korea's demanding telecom marketplace."

"Korea and its service providers and handset manufacturers are global players in the wireless industry," said Larry Wasylin, Magnolia's vice president of sales. "Uniquest can provide Magnolia with the support and the market knowledge necessary to broadly deploy our DiversityPlus technology in Korea, as well as other international markets. This is a strong endorsement of our technology coming from a leading distribution player and we are very pleased to have Uniquest on board."

About DiversityPlus(TM)

DiversityPlus(TM) is a family of RF chipset products designed around Magnolia's unique algorithms for CDMA mobile terminals. By combining transmit and receive RF signals from two antennae in a unique way, wireless operators can double their network capacity and significantly improve coverage and data rates to the individual subscriber, without the need for additional cell phone towers and infrastructure.

Some other key benefits of Diversity Plus Chipset are the elimination of cellphone "dead zones", increased cell phone battery life and substantially lower power emissions.

About Uniquest Corporation

Established in 1993, Uniquest Corporation is a leading-edge semiconductor solutions provider in Korea. Focused on creating demands and providing innovative solutions to the market, the current line cards include Altera, IDT, Intel, Silicon Laboratories and others. Uniquest has three divisions of sales addressing Wireless, Communications and Digital Consumer market -- UNIQUEST I&C, INFINITEK and TEKCLIPS. For more information about Uniquest, please visit Uniquest website at www.uniquest.co.kr.

About Magnolia Broadband

Magnolia is an innovative developer of semiconductors for the wireless industry and the first company to provide diversity antenna technology using unique RF chipset products that incorporate both transmit and receive diversity. By using a unique RF (Radio Frequency) chipset product and algorithm, it incorporates a novel way of combining RF signals from two antennae for both transmit and receive signals in the mobile terminal, enabling carriers to serve twice as many subscribers within the same wireless infrastructure while boosting phone coverage, data rates and battery performance. Carriers and consumers also benefit from more reliable connections, improved quality of service while having small impact on cost.

Leading CDMA carriers and mobile terminal manufacturers have tested Magnolia's technology. Since its inception in 2001, Magnolia has raised $28.5 million in capital from notable investors like Draper Fisher Jurvetson Gotham, ECentury Capital Partners, SCP Private Equity Partners, Selway Partners and Silverstar Holdings. Magnolia has filed numerous patents related to its core technology and partnered with semiconductor industry notables such as Jazz Semiconductor, and Amkor Technology. For more information, go to www.magnoliabroadband.com.

Magnolia Contact information Joseph Dans Director of Accounts Fusion Public Relations 570 Seventh Avenue New York, NY 10018 (212) 651-4215 joseph.dans@fusionpr.com John H. Moon SVP Corporate Development Magnolia Broadband, Inc. 64 Old Highway 22 Clinton, NJ 08809 (908) 735-0372 ext. 202 Uniquest Contact Information H.K. Chung Technical Marketing / Sr. Manager Uniquest Corporation Office: (82-2)-3404-9965 Cell: (82-11)-398-5718 hkchung@uniquest.co.kr Philip Chang Field Application Engineer Uniquest Corporation Office: (82-2)-3404-9952 Cell: (82-16)-9225-0606 philip@uniquest.co.kr