Investments

PointShot Wireless Secures Additional Financing to Support European Rail Deployments

Latest Funding Round Supports New European Office and Rail Deployments

OTTAWA--(BUSINESS WIRE)--July 27, 2004--PointShot Wireless, the leader in deployments of mobile wireless solutions for rail, today announced it has secured additional financing from existing investors Axis Capital, GTI Capital and Venture Coaches. The new round will fund PointShot Wireless' new London office, and will help the company better meet the growing demand for mobile Wi-Fi applications in Europe and support its local customers and partners.
PointShot's London office houses state-of-the-art R&D facilities and testing and verification labs, providing PointShot's European customers and partners a location for advanced development, product integration, testing, and customer support. PointShot Wireless is working with one of the UK's leading independent Internet location providers, Broadreach Networks Limited, to give Virgin Rail a turnkey solution for offering onboard wireless Internet services.

Additional trials of the joint company offering will begin shortly, as PointShot is a key partner for Broadreach's newly launched subsidiary, BroadReach Train Services Limited (BTSL). BTSL was created to expand on Broadreach's leading position within the on-train Internet access market, and has projected this business will generate more than GBP 200 million a year. London offers a central location for PointShot to successfully execute on this opportunity in the United Kingdom. Additional PointShot Wireless offices will be launched throughout Europe in 2005.

PointShot Wireless continues to build on its leadership position in the deployment of wireless Internet onboard trains. With commercial deployments in North America and Europe and over 500,000 km of track-tested product by 4,000+ unique passengers, PointShot Wireless is unique in its knowledge of best practices for deploying Wi-Fi onboard rail, as it has a proven approach in integrating both network realities and passenger characteristics in order to deliver a high-value passenger experience. PointShot has collected quantitative usage statistics and customer feedback that allows the company to provide customizable applications that mirror the specific demands of the rail operator's location, train route and type of onboard user, to create an optimum end-user experience that generates significant sources of new revenue and increased ridership.

"The continued success of PointShot Wireless and the growing demand from Europe were the basis of our additional investment. PointShot launched the mobile Wi-Fi market for the rail industry and is a role model for any company looking to generate revenues from Wi-Fi applications," said Bernard Hamel, chairman and senior general partner at GTI Capital. "Our investment in PointShot is yet another indication of our strategy of financing technology firms that are emerging leaders in their markets, and based on PointShot's past success, we are confident the company will take a significant market share within the Wi-Fi industry."

"PointShot Wireless is in discussions with every major European rail operator and has secured strategic partnerships with service providers, such as Broadreach Networks Limited, to meet the growing demand for in-motion Wi-Fi services," said Shawn Griffin, president and CEO of PointShot Wireless. "PointShot has more experience in providing wireless rail miles than any company, giving us a unique market advantage. Rail operators and service providers are gaining a powerful partner, who, along with providing best-of-breed technical solutions, can offer insight into what passengers and rail operators really need. The statement of confidence from our investors combined with the market demand from our existing and potential customers demonstrates that PointShot Wireless is the global leader in mobile Wi-Fi solutions."

PointShot Wireless equipment is in operation on both inter-city and commuter trains in partnership with large service providers. Operators of commuter and inter-city trains, executive coaches and mobile businesses utilize PointShot technology to offer differentiated onboard connectivity, communication and content services to customers.

About PointShot Wireless

PointShot Wireless is the market leader in mobile wireless solutions for the rail industry. The company's RailPoint(TM) product is a complete system for bridging 802.11 networks to next generation wireless, cellular and satellite networks, delivering a host of passenger and rail operator applications. RailPoint is deployed with three commercial rail operators representing more than 500,000 km of track tested product with over 4,000+ passengers. The company is headquartered in Ottawa, Canada with European headquarters in London, England. For more information visit: www.pointshotwireless.com

About Broadreach Networks Limited

Broadreach Networks Limited operates one of the largest networks of public Internet access locations in the UK. Its UK-wide network of ReadytoSurf(TM) Internet Locations provides wireless and terminal broadband access for business and personal users.

Backed by BT, Generics, Intel, VCF, Virgin and Yorkshire Fund Managers, Broadreach has access to the largest user base in the UK. Roaming agreements with a range of ISPs and mobile operators give it access to over 25 million potential users, putting Broadreach at the forefront of the public Internet access market.

Broadreach is approaching the public Internet access market through three key channels - Transport, Hotels/Leisure and Retail. Currently, it is rolling out 4,000 locations throughout the UK for blue-chip partners such as Little Chef, Network Rail, Virgin Trains and Virgin Megastores.

Formed in May 2000 as a spinout from Arthur D. Little, the international management consultancy firm, Broadreach is the leading independent provider of public Internet access services in the UK.

To find out more about Broadreach Networks Ltd and the ReadytoSurf(TM) product and services please visit our website (www. broadreachnet.com or www.readytosurf.com) or contact us at Broadreach Networks Limited, 25 Floral Street, London WC2E 9DS. Tel 020 7031 8160 (e-mail pressoffice@broadreachnet.com).

Contacts


LNS Communications
Katy Brennan/Cathy Caldeira, 617-577-9777
kbrennan@LNScom.com
ccaldeira@LNScom.com

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