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FREMONT, CA, September 28, 2006 - Actelis Networks®, the leading provider of Carrier Ethernet over Copper™ networking solutions, today announced that Easynet, a Pan-European broadband provider, has launched its innovative EtherStream™ service using technology and solutions from Actelis Networks. The groundbreaking new service is the UK's first Ethernet in the First Mile (EFM) service over copper. EtherStream™ uses Actelis' patented EFMplus™ technology to deliver symmetrical Ethernet at advanced speeds of up to 24Mbps. For the first time, businesses have access to fiber-like, high bandwidth services delivered over the existing voice grade copper network.

"EtherStream™ is leveraging Actelis Networks' EFMplus Carrier Ethernet over Copper technology to offer Easynet customers a significant advantage – fiber-like speeds and resiliency at lower costs," said Gemma Tindale, EtherStream Product Manager, Easynet. "This service is poised to significantly expand across the UK, reaching 60 percent of all businesses. Looking forward, the demand for next-generation Ethernet services, matched with our ever-expanding service portfolio, sets the stage for us to deliver our solutions to a growing market hungry for high bandwidth."

Successfully launched by Easynet in the Netherlands in 2005, EtherStream™ is the latest addition to Easynet's innovative product portfolio. This new access method dramatically improves the availability of world class, resilient infrastructure services. EtherStream™ will drive convergence and will make new applications a reality for the many thousands of businesses previously limited by the expense of upgrading to fiber.

"Actelis Networks' Carrier Ethernet over Copper solutions significantly expand the reach and coverage of Ethernet services by leveraging under-utilized copper infrastructures to extend high-speed Ethernet networks," said Mehmet Balos, President of America's and Chief Marketing Officer of Actelis Networks. "With Actelis state-of-the-art EFMplus technology, Easynet can achieve significant cost benefits and better performance for their EtherStream service, empowering them to continue to offer innovative and differentiated services to their business end-users."

"EtherStream™ is revolutionary –vastly increasing the capabilities of enterprises without the need for a large investment, or the disruption of a change of infrastructure," stated David Rowe, Easynet Chief Executive Officer. "The service has been a resounding success in the Netherlands and now we are expanding the offering in the UK. Once again, we're leading innovation in the data network market, and demonstrating our commitment to delivering unique, cost-effective managed networking services to enterprises."

Currently, Easynet provides the EFMplus-supported EtherStream™ service to a fast-growing number of customers in the UK and in the Netherlands such as Hitachi, LG, and the Ambassador Theatre Group.

About Easynet

Easynet delivers superbly managed network and hosting solutions for businesses and enterprises. Owning extensive national and international network and hosting infrastructure, Easynet sets itself apart through customer service excellence. Easynet's approach is underpinned by professional excellence in understanding, designing, delivering, and management of customer solutions, our ability to work successfully with partners, and our attention to quality. Easynet has operations across Europe.

Easynet works hard to ensure its customers are its best advocates. These include the Ford Motor Company, Kia Motors, Calor , Tchibo and Kellogg's Italia S.p.A.

Easynet is part of the British Sky Broadcasting group, with a total market capitalization in excess of £9bn.

For more information visit www.easynet.com.