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Fremont, Calif., May 9, 2006 - Actelis Networks Inc., the leader in Carrier Ethernet over Copper™ solutions, today announced the appointment of telecom industry veteran Mehmet N. Balos as President of Americas and Chief Marketing Officer (CMO). Mr. Balos is responsible for setting the strategic marketing direction of Actelis worldwide, and will oversee commercial operations in the Americas region.

"Actelis solutions are transforming the way businesses connect to the Internet and accelerating the adoption of Carrier Ethernet by using the existing copper infrastructure," said Tuvia Barlev, President and Chief Executive Officer of Actelis Networks. "Mehmet's extensive experience in carrier and enterprise markets and understanding of the tier-one telecom market significantly enhances our senior management team as we continue to grow rapidly."

Prior to joining Actelis, Mr. Balos was Vice President of Enterprise North America at Ericsson, and was responsible for Direct and Channel Sales, Marketing, and Business Development.

"Carrier Ethernet is an incredibly compelling sector and the ability to leverage the existing copper infrastructure creates an irresistible value proposition to operators," said Mehmet Balos, newly appointed President of the Americas and Chief Marketing Officer of Actelis Networks. "Actelis is the clear leader in Carrier Ethernet over Copper with superior carrier-grade technology, expertise and unmatched quality. The company is well-positioned to achieve sustainable growth and, with a strong management team in place, Actelis can capture strategic marketing opportunities that will take the company to the next level."

Mr. Balos' twenty-five years of telecom and networking experience spans strategic marketing, product planning and management, engineering, sales, customer support and services and operations. He has successfully built organizations for the development of new product platforms, as well as, grown existing and established businesses at Lucent, Nortel, Fujitsu, ADC Telecommunications, Pirelli, and Advanced Fiber Communications. Previously at 3Com Corporation, Mr. Balos managed strategic and product marketing, segmentation and solutions marketing, field marketing, corporate communications and branding.

Mr. Balos has heavy carrier and enterprise experience in wireline and wireless networks technologies, including: transport, access, switching, datacom, and services for voice, data, and video platforms. He has years of experience working with decision makers at service providers such as, RBOCs, national, local and long distance carriers, MSOs, international PTTs, enterprise networks, OEM suppliers and venture capital organizations.

Mr. Balos studied industrial and systems engineering at the Georgia Institute of Technology and holds a B.S. in Industrial Engineering.