Red-M Powers the World's Biggest Bluetooth Public Network At Bluetooth Congress 2001

Successful Operation of the Piconet Network Demonstrates the Huge Potential of Bluetooth

Red-M(TM), a leading supplier of advanced Bluetooth(TM) networking product solutions and associate company of Madge Networks N.V. (NASDAQ NM:MADGF), today reveals that it is the power behind the highly successful BlueZone at the Bluetooth Congress in Monte Carlo.

Red-M implemented the network using its award-winning 3000AS access server, 1000AP access points and BIAS(TM) software technology, allowing delegates at the Congress to use a live Bluetooth network to access the Internet, the congress Intranet site and email services wirelessly from a range of mobile devices.

The BlueZone utilises Bluetooth piconets to enable multi user connectivity to each access point. Located in the Grimaldi Forum, Monte Carlo, delegates are invited to use the network from a selection of Palm(TM) and Handspring handheld computers, and laptop computers. The network is the largest operational Bluetooth public access system in the world. Delegates are free to download email and access the local Intranet and Internet, including a version of the Bluetooth Congress website designed specifically for access from a handheld device.

Lars Rehder, wireless product manager for Palm, Inc., comments, "We were delighted to be involved in the BlueZone implementation at the Congress. The project has been an overriding success and clearly demonstrates how the combination of Palm's technology and Red-M's infrastructure products allows us to offer business users the benefits associated with Bluetooth technology."

Organizers of the Congress, IBC, selected Red-M to implement the network based upon its position of leadership in the Bluetooth market. Gavin Whitechurch, Research Director, IBC Conferences, comments, "Red-M was the winner of the first ever Award for Innovation, presented for the first time at the Bluetooth Congress, 2000. As we are the first conference organizer to provide these mobile communications facilities to our delegates, it was natural for us to work closely with Red-M to guarantee the success of this innovative project. It has allowed us to demonstrate how this technology can provide value-added services to conference attendees. Due to its success, this initiative is something we are considering rolling out across all our events."

Simon Gawne, Vice President of Marketing and Business Development at Red-M, adds, "The network worked flawlessly and is living proof that Bluetooth is ready for primetime. We are pleased to have been at the heart of this network - the largest operational public Bluetooth network in the world."

About Red-M

Red-M is an acknowledged leader in the Bluetooth networking market. The company develops and markets hardware and software product solutions that enable mobile data, voice and video communications inside buildings and public concourses to a range of devices -including computers, personal digital assistants (PDAs), wireless application protocol (WAP) smart phones and other emerging information appliances - using wireless Bluetooth technology. Red-M was founded as an internal start-up of Madge Networks N.V. (NASDAQ:MADGF) and is now an associate company, having secured $35m second round funding from Apax Partners and Amadeus Capital in April 2001. Red-M launched the world's first Bluetooth networking products in October 2000 with the 3000AS access server and 1000AP access point. The company has filed a number of patents around the design and implementation of Bluetooth networking technology, including its unique Red-M BIAS(TM) (Bluetooth Internet access server) technology. Red-M has won several awards including the first ever Award for Innovation at the annual Bluetooth Congress in June 2000 and more recently PC Magazine's 'UK Technical Innovation Award'. Red-M is an Associate Member of the Bluetooth Special Internet Group (SIG) and is an active member of the Personal Area Networking (PAN) working group. Information on Red-M can be found at www.red-m.com.


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