ZIGBEE PIONEER TO HEAD MESHNETICS’ EMEA OPERATIONS

Vienna, Austria – October 2, 2007 – MeshNetics, a leading provider of ZigBee modules and embedded software for OEMs and system integrators, today announced that it appointed Thomas Lerm General Manager EMEA Operations. Thomas Lerm held a key position at Atmel Corporation where he was one of the masterminds of Atmel’s 802.15.4/ZigBee effort, the Z-Link® program. Thomas brings to MeshNetics over 12 years of professional experience in engineering, business development and marketing. His expertise in the emerging wireless market will be instrumental in further growing MeshNetics EMEA sales of Atmel-based 802.15.4/ZigBee modules and software, as well as related design services. Thomas Lerm will operate out of new MeshNetics European headquarters in Dresden, Germany.

Vasiliy Suvorov, CEO of Meshnetics commented: “Thomas is one of the industry pioneers who have been involved with 802.15.4/ZigBee from day one. He was one of the ‘founding fathers’ of ZigBee program in Atmel, the world leading semiconductor manufacturer and our long-standing partner. Thomas’ new assignment should further strengthen our relationship with Atmel. His unique set of engineering and business development skills, along with his capacity to integrate new ideas and convert them into tangible results, will be the key to successfully developing the fast growing wireless markets of Europe and neighboring regions.”

Thomas Lerm joins MeshNetics from Atmel where he served as Director Strategic Wireless Marketing and managed Z-Link® program dedicated to development of 802.15.4/ZigBee platform based on Z-Link® technology. He was one of the architects of Z-Link ecosystem that fostered a robust partner community offering 802.15.4/ZigBee software for Atmel AVR Z-Link® chipset. Prior to that Thomas Lerm held position of Program Manager for Advanced System Development and technical marketing within SPANSION Business Unit of Advanced Micro Devices (AMD), where he is credited with successfully managing the Alpha Program for WLAN System Development & Integration. Until then he served as Commodity Quality Manager for Communication IC’s and Solutions at Siemens Mobile and co-led an advanced technology group. Thomas Lerm holds a Master Degree in Communications Technology from University of Applied Science, Berlin.

At the helm of the Business Development Center for EMEA area, Thomas Lerm will be driving sales of MeshNetics industry-leading ZigBee modules and design services, gradually developing it into a local competence center. He will manage and grow the distribution network, and work on establishing key relationships with major OEM/ODM accounts. Thomas Lerm will be closely involved in all facets of MeshNetics development strategy & portfolio planning. One of his goals will be transforming the Dresden headquarters into “MeshNetics WSN Solutions Engineering Center" in Europe over the next few years.

“I feel fortunate joining the European leader in ZigBee module-based solutions for building automation, automated meter reading, asset tracking and a host of other application areas, at the time when the wireless sensor market is set for the exponential growth,” Thomas Lerm said. “MeshNetics offers a winning combination of superior Atmel hardware, packaged into easy-to-integrate modules, robust software, and a comprehensive support and design services. I look forward to serving our clients, working with our partners and establish a sustainable eco-network around MeshNetics product offerings.

MeshNetics made the announcement at the Metering & Billing/CRM Europe 2007 Conference in Vienna, Austria, where it demonstrated its ZigBee-based products and solutions. In the European market, MeshNetics offers a full line of its ZigBit™ 802.15.4/ZigBee modules. These ZigBee modules, the smallest of their kind in the industry, are based on the Atmel AVR Z-Link hardware platform and offer a superior unamplified line-of-site range of over 1,000m (3,280 ft.) The ZigBee 2006 certified mesh networking stack software and sample applications, included in the Development Kit along with the evaluation boards and accessories, provide all the tools needed to develop reliable, cost-effective ZigBee solutions. MeshNetics also offers certified IEEE802.15.4 MAC software, the OpenMAC, which can be downloaded for free at www.meshnetics.com/opensource/mac. For more information on MeshNetics 802.15.4/ZigBee modules and ZigBee software please visit www.meshnetics.com. A new German-language website www.meshnetics.de is now live.