- 17 May 2006 -

GigaBeam revenues doubled in 2005

GigaBeam Corporation, the US company, which specialises in the provision of ultra-high-speed point-to-point wireless solutions known as "WiFiber" wireless fiber, announced its results for the first quarter ended March 31, 2006. It more than doubled its revenues over the fourth quarter of 2005.

Lou Slaughter, GigaBeam's Chairman and CEO, noted, "We are very pleased with our first quarter results, particularly the more than doubling of our revenue over the fourth quarter of 2005. This performance underscores the growing market acceptance of our WiFiber products. During the quarter, we achieved strategic milestones with new accounts both here and abroad. We were successful in expanding our penetration into the city and municipal market in the USA. We also commenced testing of our WiFiber product with large telecommunications carriers, which tests continue to produce successful results. Internationally, we opened up several additional markets including Australia, South Africa and countries in the Middle East. Also, during our first quarter we were successful in listing our Company on the NASDAQ Capital Market, which heightened our Company's profile and broadened our investor base."

The Company generated revenue of $1,659,000 for its 2006 first quarter, representing sequential revenue growth of 131% compared to $717,000 in revenue reported for the fourth quarter ended December 31, 2005. For the year earlier quarter ended March 31, 2005, the Company was a development stage company with no revenue. The net loss allocated to common shareholders for the first quarter of 2006 was $5,012,000, compared to net losses of $8,535,000 for the prior quarter and $2,902,000 for the year earlier quarter.

GigaBeam's WiFiber technology is similar to terrestrial fibre in terms of speed and reliability for deployment in Metropolitan Area Networks (MANS). However, WiFiber has a substantial advantage over terrestrial fibre because WiFiber can be deployed in a day and costs less to deploy than terrestrial fiber. Terrestrial fiber can take months to deploy and also require significant regulatory and environmental approvals prior to installation.
GigaBeam's WiFiber products operate in the 71-76 GHz and 81-86 GHz radio spectrum bands. This portion of the radio frequency spectrum has been authorized by the Federal Communications Commission for wireless point-to-point commercial use. Use of these frequency bands for commercial use was pioneered by GigaBeam's founders.

www.gigabeam.com