© 2004 flarion technologies 1 bill casey senior director, corporate marketing 19 october 2004

© 2004 Flarion Technologies 1

Bill CaseySenior Director, Corporate Marketing

19 October 2004


Flarion - What We DoFlarion - What We Do

Technology: new mobile wireless system, FLASH-OFDM®

Mission: Help network operators mobilize the Internet and customers’ personal computing experience

Products: RadioRouter® Base Stations, modems and chipsets


The Flarion Mission, Simplified:The Flarion Mission, Simplified:

“Mobilize the Computing Experience”

Dial toneDial tone

EthernetEthernet

CordlessCordless CellularCellular

WiFiWiFi FlarionFlarion

Fixed Mobile

Basic Voice

Broadband Data


The Speed of

Broadband

The Price

of Cable

The Mobility

of Cellular

Unique Benefits for UsersUnique Benefits for Users

AffordableMobile

Broadband


Product Offer IP-based mobile broadband solution (FLASH-OFDM®)

for mobile operators Compelling economics, high spectrum efficiency, standard IP

network

Market Opportunity Deutsche Bank and Signals Research forecast carrier

spending on FLASH-OFDM® infrastructure equipment of close to US$3 Billion between 2005-2010

Investors Bessemer, Charles River, New Venture Partners, Pequot Cisco, Nextel, T-Mobile Venture Fund, SK Telecom

Financials Fully Fundedwww.flarion.co

m

Bedminster, NJ/USAFounded Feb, 2000

Corporate OverviewCorporate Overview


Corporate OverviewCorporate Overview

Major Operator Trials

Partnerships Siemens, Motorola, Nortel, TI, Netgear, Flextronics, Cisco

Executives Ray Dolan – CEO Mike Gallagher - President Rajiv Laroia – CTO Ed Jordan – CFO Bob Suffern – SVP, Operations & Engineering Ed Knapp – SVP, Product Marketing & Market

Development Theresa McCarthy – General Counsel

Board of Directors Andrew Viterbi – President, Viterbi Group Dan Stanzione – President Emeritus, Bell Labs Matt Desch – CEO, Telcordia Technologies Bob Goodman – Bessemer Venture Partners Bruce Sachs – Charles River Ventures Martin Hale – Pequot Capital


Wireless Data GrowthWireless Data Growth

Currently almost 80 Million PDAs and Laptops in use* To grow a market, operators, infrastructure suppliers and terminal players

must make money, and consumers need a reason to pay– *63M laptops + 16M PDAs

*Source: Cellmania.com, NTT DoCoMo, ResearchPortal.com, Strategy Analytics, USA Today, Wit Soundview.

Applications drive the Internet It is hard to imagine the applications that will seem obvious once connectivity

can be “assumed” by the mass market


What’s the Killer App?What’s the Killer App?

Portable Devices Portable Devices Access FreedomAccess Freedom Ease of useEase of use

Always-on, where you areAlways-on, where you are


Flarion Mobile Broadband SystemFlarion Mobile Broadband System

One network for Voice and Data

1.25 MHz pair of FDD radio spectrum

100% Internet Protocol (IP) based

Public Internet

Standard IP Data Network

WirelessNetwork CardUser Host

Terminals

RadioRouter®Base Station

Gateway

Router

Mobile Broadband NetworkMobile Broadband Network

Mobile Broadband

Chipset

FlashViewTM

Element Manager

CompactFlashCard


Key Features of Flarion SystemKey Features of Flarion System

Broadband and Interactive– 3.2 Mbps downlink peak data rates

• Average of 1-1.5Mb– 900 Kbps uplink peak data rates

• Average of 300-500Kbps– Average packet latency as low as 50

milliseconds

Always-on Wherever You Are– Seamless wide area coverage, vehicular

mobility– IP based mobility - interoperable with

802.11

Pure IP-based – No changes to IP network, host device,

applications or content– Leverage IP infrastructure, devices and

channels


Network RequirementsNetwork RequirementsWAN - LAN InteroperabilityWAN - LAN Interoperability

Airport

802.11

Internet

Coffee Shop

802.11

Campus Building

802.11

FLASH-OFDM Mobile Wide Area

Network

Mobile IPHandoff


Corporate

Internet

FlarionRadioRouter® e.g.: 802.11

Mobile IP Client

FLASH-OFDM

802.11 Modem

Software

Inter-Technology Handoff Inter-Technology Handoff

HA

AAA


Flarion Product PortfolioFlarion Product Portfolio

**Third Party DeviceThird Party Device

TerminalsTerminals

Chipsets /Chipsets /LicensesLicenses

EmbeddedEmbeddedDevice*Device*

NetworkNetworkRadioRouterRadioRouter®®Base StationBase Station

BOM & DesignBOM & Design

FLR 2500FLR 2500Mobile BroadbandMobile Broadband

ChipsetChipset

FLR 500A ASICFLR 500A ASICFLR 200D ASICFLR 200D ASIC

FlashView™FlashView™Element Element Manager Manager

(OSS/BSS)(OSS/BSS)

Note: Devices not depicted to scale

For planning and informational purposes only. Not intended to modify or supplement any agreements or warranties.

Wireless Wireless Network CardNetwork Card

Desktop Desktop ModemModem

CompactFlashCompactFlashCardCard

Phone*Phone*

FDK 2500 Design & Reference KitFDK 2500 Design & Reference Kit


FLASH-OFDM® Mobilizes ALL UsersFLASH-OFDM® Mobilizes ALL Users

ProductivityProductivity

Mobile Office

Mobile MP3 Players

LifestyleLifestyle

Online Interactive Gaming

Mobile Digital Cameras

ResidentialBroadband

Public SafetyPublic Safety

Mobile Hi-res Imaging

TacticalData

Access

Push-to-Talk

& Dispatch

Priority Access


Flarion System Unwires Large Flarion System Unwires Large Existing MarketsExisting Markets

User side – All IP-based Host Devices and applications are 100% off-the-shelf

Network Side – All IP-based Network Gear is 100% off-the-shelf


Customers are demanding Customers are demanding mobile broadband NOW!mobile broadband NOW!

3 Mbps3 Mbps

50 msec50 msec

14 kbps14 kbps

1 second1 second

Email, File Transfer

Email, File Transfer

Delay

Rate

144 kbps144 kbpsEnterprise/

VPN , etc.Enterprise/

VPN , etc.

Multi-user Games,

VoIP, TCP, etc.

Multi-user Games,

VoIP, TCP, etc.250 msec250 msec

WAP, Cellular-Specific AppsWAP, Cellular-Specific Apps Web

Browsing, mCommerce

Web Browsing,

mCommerce

Rate

Delay

Video-conferencing

Video-conferencing

MultimediaMultimediaIt’s not just about data rate…

…it’s about packet delay


Interactive ApplicationsInteractive ApplicationsIt’s about the ‘pipe’ and latencyIt’s about the ‘pipe’ and latency

Opportunity Example: Gaming– "There will be 450 million mobile gaming players by

2006" - Probe Research – "Mobile gaming over the Internet will grow– to an $8.8 Billion industry by 2006“

Bear Stearns

The Challenge– Interactive applications can not sustain delays in excess of 150

milliseconds… or in some cases today: 500 milliseconds– Sub 50 ms is a requirement for success for interactive applications,

such as gaming


Tiered & Profitable ServicesTiered & Profitable ServicesEnterprise and ConsumersEnterprise and Consumers

High-margin Tiered (QoS) Services

$40

$75

$100

Nationwide Mobile Broadband•VPN access

•Application QoS•3000 anywhere minutes (VoIP)•Roaming•Prioritized access

*Example*

$150


Publicly Announced Trials and Publicly Announced Trials and Flarion Worldwide presenceFlarion Worldwide presence

North America- World Headquarters (NJ)- Nextel Commercial Deployment (NC)- OCTO Trial (Wash. DC)- Aloha Market Trial – 700MHz operator

Europe-EMEA HQ (UK)-T-Mobile Trial (The Hague - Netherlands)

Korea- SK Telecom Trial- KT Trial- Hanaro Telecom Trial

Japan- Sales Office (Tokyo)- Vodafone KK Trial

Australia-Sales Office (Sydney)- Telstra Trial

Singapore- Sales Office


Recent AnnouncementsRecent Announcements

Siemens to integrate FLASH-OFDM® into its portfolio of mobile broadband solutions

Siemens and Flarion partnering in FLASH-OFDM®: Mobile broadband solutions for the 450 MHz frequency band

BEDMINSTER, New Jersey, US, 7 th October 2004. Siemens Communications will be integrating FLASH-OFDM (Orthogonal Frequency Division Multiplexing) technology into its portfolio of mobile broadband solutions. Siemens and Flarion Technologies, the architect of the FLASH-OFDM® mobile broadband system,have signed a memorandum of understanding to collaborate on products for the 450 MHz frequency band. Under the terms of the agreement, Flarion will develop the basic 450 MHz-band equipment according to Siemens specifications. By the second quarter of 2005, Siemens will be offering an end-to-end solution forFLASH-OFDM®, complete with systems integration services.



Aloha Partners Launches Market Trial of Flarion’s FLASH-OFDM Technology to Offer Mobile Broadband to

Public Safety and Rural Homes

October 14, 2004, Providence, Rhode Island. Aloha Partners LP, the largest holder of 700 MHz spectrum in the United States, today announced it will launch a market trial of

Flarion’s FLASH-OFDM® technology for mobile broadband IP services. The market launch will commence in the second quarter of 2005 and will take place in one of the top 100 markets in the United States, making it the largest deployment of mobile broadband

using 700MHz spectrum in the United States.



NETGEAR® and Flarion Team to Deliver Seamless Wi-Fi to Mobile Broadband Communication Products

Interoperable Wi-Fi to FLASH-OFDM® Device Solution to Support Licensed Cellular

Frequencies

SANTA CLARA, California, October 18, 2004 – NETGEAR, Inc., (Nasdaq: NTGR), a worldwide provider of technologically advanced, branded networking products, and

Flarion Technologies, the architect of theFLASH-OFDM® mobile broadband system, have entered into a strategic partnership to productize and deliver seamless FLASH-OFDM® and Wi-Fi functionality to mobile operators worldwide through NETGEAR’s

industry leading line of 802.11b/g products. First commercial product will be available Q4 2004.


Flarion Alliance MembersFlarion Alliance Members

Notebooks & PDAs

Wireless Subscriber Devices

Wireless IP Cameras

PDA VPN Clients

Presence and Instant Messaging

Multimodal / Speech Recognition

VPN and VoIP

Notebooks, PDAs, & Tablet PCs

Applications

Media Streaming


Flarion Alliance Members Flarion Alliance Members (cont’d)(cont’d)

IP Networking Equipment

Power Amplifiers

SIP Infrastructure

OSS / BSS

AAA Servers

RF Engineering & Deployment

A&E and Construction

Contract Manufacturer

RF Filters

Government Contractor

CPU & Backhaul Cards

Power Amplifiers

RF Engineering & Deployment

DSPs and 2nd Gen ASIC

VoIP Codecs for PC Cards

Solutions

BSS, CRM, PRM

Antennas WI-FI Handoff

DSPs

Strategic Suppliers

Network Management & AAA Server Hardware


Nextel’s Launches Mobile Nextel’s Launches Mobile BroadbandBroadband


Raleigh-Durham-RTP, NCRaleigh-Durham-RTP, NC

Coverage:

1300 Sq Miles

Cities:

Durham

Raleigh

RTP


Mobile Broadband Pricing PlansMobile Broadband Pricing Plans


Access ProductsAccess Products


Industry Test ReportsIndustry Test Reports

“Our tests of NXTL/Flarion in North Carolina showed vastly superior bandwidth and latency to what we obtained during earlier 1xEV-DO, 1xRTT, and EDGE trials”

“Our tests suggest the NXTL/Flarion performance is vastly superior to all currently available mobility wireless data technologies and faster than most DSL services. We were also impressed with the contiguous network coverage”

“We went into this trial with high expectations and they were met”

“…technology is once again playing an important role in carrier decision processes and we could be in the early stages of another arms race with bragging rights for the biggest bandwidth being claimed by more than one operator.

“The performance of the system in Raleigh is quite good and should encourage Nextel to expand the system to other markets”

“FLASH-OFDM – is the best performing technology of the bunch (vs DO) from a single user’s perspective if he/she wants mobile data in a WWAN – mobile or stationary”


Local AdvertisingLocal Advertising


Billboards and Bus StopsBillboards and Bus Stops


In-Store DemonstrationIn-Store Demonstration


OCTO Network: OCTO Network: Public Safety & GovernmentPublic Safety & Government

Office of CTOWashington, DC


High Speed Data Wireless: High Speed Data Wireless: OverviewOverview

First responders need better tools than the terrorists!

High speed wireless data networks can provide critical public safety and homeland security applications to first responders and commanders.

The current networks and spectrum allocations do not enable these applications.

The FCC is currently planning to auction needed 700MHz spectrum to the highest bidder.

We must act now or risk losing the needed bandwidth for the next 20 years.


Not to scale

D.C. Public Safety NetworkD.C. Public Safety Network

10 cell sites D.C. Metro


Public Safety & SecurityPublic Safety & SecurityNetwork & ApplicationsNetwork & Applications

Mobile Unit Access Modems

Mobile Devices

Flarion Mobile WANThird-party Applications

Flarion RadioRouter

Command Ct Dispatch

Mobile Unit: Identification Mobile Unit: Surveillance

IP Cameras:Signaling & Surveillance

Mobile Unit: Vehicle Location

Wireless Call Box


Provides Chem/bio alarms, video, and GIS from Subway

Application only available at six DC locations via Ethernet ports

1.2 Mbps throughput required

Medical Consult, “virtual” backup, and incident pre-assessment are all critical

240 kbps per user (bi-directional) for full motion, medium resolution video

Police and EMS Video ApplicationsPROTECT

CapWIN Messaging, incident

command, and database access across jurisdictions and functional disciplines

High quantities of medium speed (80 kbps) users for rapid image distribution

First Responder ApplicationsFirst Responder Applications

District of Columbia Office of the Chief Technology Officer – 6


Public Safety RequirementsPublic Safety Requirements

Video, images, & GIS – requires a high speed wireless network, in excess of 1.2 Mbps per user (DSL vs. dial-up)

City-wide, high-mobility coverage Scalable technology to address future needs Connectivity

– open interfaces (E.G., PC Card, Compact Flash)– standard devices (E.G., Pocket PC, Palm, Notebook)

Minimize overall cost as State and local budgets shrink Dedicated bandwidth for critical public safety applications


Spectrum Coalition for Spectrum Coalition for Public SafetyPublic Safety

Coalition Objectives• Secure Upper 700 MHz Block C (or equivalent) for national public safety

broadband applications• Identify and promote viable technical solutions that meet throughput, device,

scalability, and cost requirements• Improve timeline for public safety spectrum availability

Coalition Activities• Grow Coalition: More Size = More Influence• Speak with “one voice” to spectrum decision-makers (Congress, White

House, FCC)• Participate in relevant rulemaking processes• Build a sizable public safety market to further stimulate competition

– Improved pricing– Custom public safety enhancements

District of Columbia’s Role• Charter member of the Spectrum Coalition• Build national showcase pilot network in DC

– Satisfies short-term needs (e.g. PROTECT)– Provides “lessons learned” and results to public safety community


Spectrum Coalition MembersSpectrum Coalition Members

City of San Diego US Park Police State of Delaware Washington DC City of Phoenix City of Denver CapWIN Montgomery Co. MD Region 25 (Montana) State of Texas State of Arizona

State of New York City of Philadelphia Broward Co. FL Rocky Mtn. EDACS Fairfax Co. VA Oregon SIEC Washington SIEC San Mateo Co. CA State of OHIO (& SIEC)

District of Columbia Office of the Chief Technology Officer – 9


OCTO Network DemonstrationOCTO Network Demonstration


The Converged IP NetworkThe Converged IP Network

By extending IP into the wireless environment, Flarion converges the wide area network with the local area network, (office to home, and everywhere in between) for everywhere broadband, increased productivity, enhanced lifestyle, and improved public safety

IP


The Business CaseThe Business Case

Licensed Cellular Spectrum– Flarion works in cellular spectrum, 400MHz to 3.6GHz– Working solutions: 700MHz, 800, 1.9GHz, 2.1 and 2.5GHz– Requires 1.25MHz channels, FDD

Network cost– Cost per Pop of $5-7 (nationwide) for RadioRouters and edge

gear, using existing cell sites and backhaul.

Mobile Broadband Services– Broadband IP services + VoiP– QoS and Service Level Agreements– Multicast support for video, gaming and music entertainment– DSL pricing


New Whitepaper on Mobile New Whitepaper on Mobile Broadband for Higher EducationBroadband for Higher Education


Summary Summary

All IP Solution Permits Easy Integration– Economic Deployment with evolution to Mobility and

Voice (VoIP) – Scalable, Flexible Architecture to support growth– Supports all existing consumer and enterprise

applications

Performance Benefits– Broadband - Robust Downlink and Uplink– Supports all Interactive Applications – Very Low Latency– Wide area coverage

Premium Revenue Opportunities– Tiered Services and Priority Access


www.flarion.com

Bill CaseySenior Director, Corporate [email protected]

© 2004 flarion technologies 1 bill casey senior director, corporate marketing 19 october 2004

Documents

flarion technologies

flarion mission

mass market slide

corporate overview slide

speed of broadband

new mobile wireless

help network operators

wireless data growth