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WiMAX Last Mile Solution

Vecima Wins Customized Triple-Play Wireless System Contract, Expects Nationwide Spanish Deployment

Other topics: Fixed Wireless Broadband Provider

October 17, 2007

VICTORIA, BRITISH COLUMBIA  - Vecima Networks Inc. ("Vecima") (TSX:VCM), the Last Mile Solution(R) for broadband wireless and wired networks, has been selected by Red Helio S.L. and a number of its service provision partners ("Red Helio") to supply a customized 5.25-5.80 GHz Broadband Wireless Internet Network ("BWIN") solution of base stations and customer premise equipment (CPE) for deployment covering the county of Murcia, Spain. Red Helio expects to extend the network of Vecima branded BWIN systems to cover their entire subscriber base in Spain, a network of approximately 70,000 homes and businesses. Today's initial contract announcement calls for 2,200 CPEs and 30 base stations representing only a fractional portion of the entire roll-out.
Spain, a nation with minimal cable infrastructure and a population demanding increased broadband access at speeds beyond the capacity offered through competing DSL, is an ideal setting to deploy Vecima's BWIN solution. "This contract reinforces Vecima's preeminent ability to customize client-specific solutions using our Canadian in-house manufacturing capabilities, which allows us to deliver systems quickly and at a lower cost than our competitors," said Sumit Kumar, VP Corporate Strategy. "Another key advantage tailored into our BWIN solution for Red Helio is managed Quality of Service - a necessity for delivering advanced voice and video applications."

Last month, Vecima announced that deliveries of its BWIN product series exceed 50,000 units and have been deployed throughout Asia, Central America, Africa and North America. The BWIN family, which is based on proven Data over Cable Service Interface Specifications (DOCSIS(R)) technology for triple-play services, offers complete system solutions in 700 MHz, 900 MHz, 1.9 GHz, 2.5 GHz, 3.5 GHz and 5.8 GHz.

Vecima is supplying WiMAX products to customers in North America and international markets and continues to develop new products for a range of custom frequency bands. A Principal Member of the WiMAX Forum, Vecima currently has shipped WiMAX compliant gear for trial deployment to 36 customers in 20 countries. Building upon the success of its BWIN systems, the company is poised to deliver market leading WiMAX systems with mass market adoption.

About Vecima Networks
Vecima Networks Inc. (TSX:VCM) designs, manufactures and sells products that enable broadband access to cable, wireless and telephony networks. Vecima's hardware products incorporate original embedded software to meet the complex requirements of next-generation, high-speed digital networks. Service providers use Vecima's solutions to deliver services to a converging worldwide broadband market, including what are commonly known as "triple play" (voice, video and data) and "quadruple play" (voice, video, data and wireless) services. Vecima's solutions allow service providers to rapidly and cost-effectively bridge the final network segment that connects the system directly to end users, commonly referred to as "the last mile", by overcoming the bottleneck resulting from insufficient carrying capacity in legacy, last mile infrastructures. Vecima's products are directed at three principal markets: Data over Cable, Broadband Wireless and Digital Video. The Company has also developed and continues to focus on developing products to address emerging markets such as Voice over Internet Protocol, fibre to the home and IP video.

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