Resonext Communications Secures $25 Million in Series C Round
New Investment Brings Resonext's Total Funding to More Than $53.5 Million

SAN JOSE, Calif.—March 11, 2002— Resonext™ Communications, Inc., an emerging developer of Wireless Local Area Network (WLAN) semiconductor products, announced today that it has successfully completed the closing of its $25 million series C equity round, bringing the total amount of equity financing issued, raised, and committed to more than $53.5 million since the company’s inception in 2000. The Series C equity round was co-led by INVESCO Private Capital and WK Technology Fund. Existing investors, Norwest Venture Partners (NVP), Bessemer Venture Partners and Oak Investment Partners also participated in the round. The company will use the new capital to continue to bring current products into production, build out sales and marketing channels, and continue its next-generation product development. Also announced today, Esfandiar Lohrasbpour of INVESCO Private Capital and Dr. Keh-Shew Lu of WK Technology Fund, join Resonext’s board of directors.

According to Cahners In-Stat Group, the WLAN market is experiencing explosive growth. The WLAN system market is forecasted to grow from $1.7 billion in 2001 to in excess of $4.6 billion by 2005, and the chipset market is forecasted to grow from $319 million in 2001 to $1.23 billion by 2005.

“Today’s existing WLAN technologies, such as 802.11b at 2.4GHz band, are becoming capacity constrained and overcrowded. Therefore, it is inevitable that the world will have to move to the 5GHz range,” stated Esfandiar Lohrasbpour, managing director at INVESCO Private Capital. “We believe Resonext is one of very few companies in the 5GHz/WLAN market that have the powerful combination of an experienced management team, superior product architecture, timely product development, a compelling roadmap, and a strong engineering team that continues to achieve key milestones for the company’s current and future products.”

“Resonext’s strong product development team, made up of experts with competencies in both Radio Frequency (RF), systems architecture and software, has developed an exceptional technology approach that sets it apart from other chipset companies in the WLAN market. Utilizing a direct conversion RF and advanced digital signal processing techniques, Resonext has demonstrated a low cost, power efficient total chipset solution,” said Dr. Lu, partner at WK Technology Fund.

“The amount of capital raised in this round is a strong endorsement of Resonext’s technologies as well as the strength of our management team. Our highly integrated WLAN chipsets continue to gain strong reception from customers as they enable Original Equipment Manufacturers (OEMs) to reduce the cost of their client and access point platforms while offering unique, differentiated features,” remarked David Tahmassebi, president and CEO of Resonext. “With the support of our marquee investors, we expect to leverage valuable industry connections and strategic advice that will only accelerate our growth and establish us as a dominant player in the WLAN market.”

The RN5200 Family Provides Completed Wi-Fi5 End-to-End Wireless LAN IC Solution

The Resonext RN5200 chipset family consists of two chipsets targeted at both WLAN clients and Access Points (AP's). Both chipsets incorporate the company’s innovations in True Zero-IF 5GHz CMOS radio, flexible Media Access Control (MAC), and AccuChannel™ equalization technology for greater range. These innovations, combined with full IEEE 802.11i compliant security features implemented into the chipsets, enable Original Equipment Manufacturers (OEMs) to reduce the cost of their client and AP products while offering unique differentiated features.

Both the RN5200 client and AP solutions consist of two chips — a highly integrated RF chip and a baseband/MAC IC — each built on the standard 0.18-micron, 1.8-volt CMOS process. Resonext’s RN5200 client and AP chipsets are fully 802.11a compliant and support the 5.15-5.35GHz UNII bands and up to 54Mbps data rate. The AP chipset, featuring the Access Point on a Chip (APoC) architecture, enables the lowest cost, high performance and feature-rich AP platforms. The client chipset delivers cost effective, low power consumption and differentiable PC cards or mini-PCI cards.

About INVESCO Private Capital

An industry leader for 20 years, INVESCO Private Capital provides a wide range of opportunities for investors through private equity and venture capital investments, as well as funds-of-funds. Since 1982, INVESCO Private Capital has invested in over 290 early and expansion-stage private companies, in the areas of communications, information technology, global commerce, and life sciences. Today these companies have revenues of more than $105 billion, employ over 600,000 people and have an aggregate market capitalization of $217 billion. INVESCO Private Capital has offices in New York, London and Palo Alto. For more information, visit www.invescoprivatecapital.com.

About WK Technology Fund

Founded in 1990, WK Technology Fund has become a leading venture capital firm in Taiwan with focus in Asia and the United States. With over US$600 million under management, WK invests in early-stage and mid-stage private companies in Taiwan, the United States and China, primarily in Communications and Information Technology. WK Technology Fund creates marketing and manufacturing synergies for its portfolio companies by leveraging its extensive technology network and strong management expertise in Asia and US.

About Resonext Communications, Inc.

Resonext Communications, Inc. is a fab-less semiconductor company that develops complete chipsets and software for the emerging 5GHz Wireless Local Area Network (WLAN) market. Resonext’s innovative technologies enable high performance, cost effective, scalable and power efficient WLAN systems for the enterprise, small business and home markets. The company’s products include Radio Frequency (RF) on CMOS, digital baseband and Media Access Controller (MAC) as well as protocol stack software. Resonext has experienced management and engineering teams with extensive wireless communications experience and a rich IP portfolio. Resonext is privately held and is based in San Jose, California. For more information, please visit the Resonext website at www.resonext.com.