The agreement advances SpaceBridge's development of next-generation modems and provides TRW an exclusive license to SpaceBridge's proprietary technology for extremely fast digital data switching aboard spacecraft.

"This move extends TRW's portfolio of leading technologies for commercial telecommunications," said Timothy W. Hannemann, executive vice president and general manager of TRW Space & Electronics Group.

"SpaceBridge's switch technology enhances our ability to deliver advanced broadband satellite network solutions to service providers and system developers."

Digital switching technology will become increasingly important as higher frequency bands, such as the extremely high frequency (EHF) band, are licensed for commercial satellite use.

TRW's planned Global EHF Satellite Network, a broadband system, would provide the communications capacity of fiber optic cable from space to reach areas not otherwise addressed by fiber systems.

This revolutionary system would complement currently planned Ka-band satellite communications systems by extending their data-carrying capacity to ultra-high rates.

Hannemann added, "This investment also advances TRW's strategy to broadly leverage its technology bank to create value by partnering with leading communications companies. We see a strong market opportunity for the SpaceBridge broadband modem technology, and we will be working closely with SpaceBridge to leverage TRW's broadband expertise."

"We are proud of the role our switch will play in TRW's future systems," said Avedis Menechian, president and CEO of SpaceBridge. "Now we move forward as a leading broadband wireless semiconductor company with a valuable partner in TRW. Their equity participation in our company and the technologies they bring to this market will provide tremendous value to SpaceBridge."

Industry analysts estimate that the market for broadband wireless multimedia services is expected to exceed $60 billion by the year 2007. The advantages of delivering broadband data through wireless terrestrial and satellite networks include quick and scalable deployment, a must in today's competitive broadband service environment. Onboard switching in advanced satellites and high-performance modems in access terminals improve network flexibility.

TRW

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