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Lightwaves Systems, Inc.’s Disruptive MegaBand™ Technology Delivering On Unfulfilled “To The Home and Through The Home™” Broadband Promises


CEDAR RAPIDS, IA – June 26, 2006 – Lightwaves Systems, Inc., a fabless semiconductor manufacturer, is announcing a patented pulse-based wire-line access technology, capable of delivering high throughput speeds at extremely low power levels. MegaBand™ extends the broadband data rate/reach “To the Home and Through the Home™” well beyond that of conventional twisted pair copper, coax and power line offerings.

VDSL2 has been the hope for telephone providers implementing high-speed digital services to the home. Unfortunately, the base discrete multi-tone technology lacks the capacity and capability to deliver the needed bandwidth for the increasing number of services. The power and frequencies required to increase bandwidth translates to greater crosstalk and interference, causing performance to degrade when deployed in realistic situations. When multiple VDSL2 streams are deployed into a single binder, crosstalk between the streams essentially begin to cancel each other out. The VDSL2 vendors are racing to apply advanced signal processing, spectrum coordination and even doubling the number wires to compensate for this cancellation. These techniques add complexity, consume power, and may provide limited performance gain. There is empirical evidence that as higher power and frequencies are used on twisted pairs, interference with other wired and wireless services, both outside and inside the home, is likely.

The issues VDSL has outside of the home apply to the current proposed in-home/multiple dwelling unit technologies on twisted pair, coax and power line. The higher required power and frequencies cause crosstalk, interference and extensive heat. These problems can be compounded by the density and proximity of devices inside a home/multiple dwelling unit. The higher power and frequencies result in higher equipment costs, operational cost and implementation challenges.

MegaBand™ enables the service provider to solve the digital bandwidth issue, both outside and inside the home, using the same high throughput technology at substantially reduced power requirements. MegaBand™ technology is applicable to virtually any wire type and implementation in the marketplace for high-speed digital service distribution, including telephone twisted pair, coax, and power line. All operate at substantially higher speeds and lower power than the competition on the respective media. The result is virtually no crosstalk or interference, enabling the entire twisted pair binder without degrading itself or other services already deployed outside or inside home.

“The cost model of a high-speed, triple play network is dramatically affected by the rate/reach of the existing copper plant versus the deployment of new fiber optic networks and the distribution within the home,” states Philip Kennedy, CEO and Co-Founder of Lightwaves Systems, Inc. “MegaBand™ delivers needed performance consistent across the variety of media leading to the home and through the home.” The benefit of lower power ensures peaceful cohabitation between all of the mainstream wired and wireless technologies and will result in overall lower operational expense.

In extensive lab testing, MegaBand™ has demonstrated:
• Substantial rate/reach gains over VDSL2, coaxial and power line offerings
• Virtually no crosstalk or interference
• The ability to adhere to any standard or service provider frequency envelope

Founded in 2002 with its roots going back to the 1990’s, Lightwaves Systems, Inc. is a private Iowa corporation headquartered in Cedar Rapids, Iowa. Lightwaves Systems, Inc. has over sixty issued and pending patents pertaining to pulse-based communications, GPS, information storage, UWB RFID, and location-enabled information techniques. For more information, visit

Forward Looking Statements

Portions of this release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements will concern, among other things, our plans, objectives, expectations, estimates and intentions, all of which are subject to change based on various important factors (some of which are beyond our control). The uncertainties and risks could cause our financial performance to differ materially from the plans, objectives, expectations, and estimates. You should consider these risks and uncertainties and should not place undue reliance on the forward-looking statements.



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