DragonVenture Chosen by CoWave Networks to Provide Consulting Services

Palo Alto, Calif. October 2, 2002

Silicon Valley based cross-Pacific consulting and venture capital firm DragonVenture, Inc. today announced it has been chosen by CoWave to seek out joint venture partners in China and potential investments from China VCs for CoWave’s projects in China.

CoWave is a wireless broadband access equipment maker targeting the global residential and small business broadband wireless access market. As the company is now focusing on identifying potential partners and customers, and productizing the existing operational prototypes, CoWave realizes China is the one market they cannot and should not overlook. CoWave is interested in potentially establishing an R&D center in China for product development. Additionally, CoWave is looking for Chinese partners to manufacture its products.

“We are glad to have DragonVenture accompany us on our important journey into China.” Dr. Steven Goldberg, CEO of CoWave Networks explains. “It is important to have a firm truly experienced in cross-Pacific bridge-building to help us in human relations management and business negotiations in a sophisticated country like China.”

“DragonVenture is excited at the opportunity to introduce CoWave’s visionary wireless technology and products to the vast and relatively untapped China market.” Tony C. Luh, Managing Director of DragonVenture elaborates. “It is an opportune time for U. S. telecom businesses to enter China because China is investing heavily on telecom infrastructure.”

Under the terms of their agreement, DragonVenture will advise CoWave on CoWave’s expansion into China on many fronts. DragonVenture will identify and introduce CoWave to potential partners in China, including system integrators that can help manufacture and bundle CoWave’s products. DragonVenture will also introduce CoWave to China VCs who will be interested in funding CoWave’s operations or joint ventures in China. In addition, DragonVenture will advise CoWave on selection of and negotiation with potential partners in China plus on how to remove cultural and language barriers that may arise during CoWave’s China-entry endeavors.

About CoWave Networks

Cowave Networks is developing MeshCast™, a wireless mesh technology that provides cost-effective coverage and eliminates the need for towers for fixed broadband wireless access operators. MeshCast’s network topology is adaptable to meet the needs for small businesses and home users in urban and/or suburban settings.

MeshCast technology allows a fixed wireless operator to offer service to virtually every potential customer in the MeshCast base station coverage area. Line-of-sight restrictions are eliminated because of MeshCast’s ability to repeat the coverage signal around obstacles. Services can be provided by antennas on rooftops of businesses and homes or be self-installed with window-mounted antennas by customers in better coverage areas. In typical suburban settings, 90% of the customers would have window-mounted antennas. In year 2003, Cowave has merged with Advanced Radio Cells to form Arcwave. For more information about Arcwave, please visit www.arcells.com.

About DragonVenture, Inc.

DragonVenture Inc. is a premier cross-Pacific venture capital, consulting, mergers and acquisitions company specializing in bridging the U.S. and Greater China marketplaces. DragonVenture manages funds that invest in emerging companies in the areas of telecommunications, Internet infrastructure, IC & Semiconductor, and Linux. The company provides cross-Pacific consulting services and facilitates cross-Pacific strategic alliances and/or partnerships, and mergers and acquisitions through DragonVenture's M&A Fund. DragonVenture, Inc. is headquartered in Silicon Valley and also has a branch office in Beijing, China. DragonVenture is working closely with numerous U. S. firms on their China strategy while assisting a handful of Greater China companies to expand business horizons into North America. For more information about DragonVenture, Inc., visit www.dragonventure.com.