ZyTrax, Inc.

Montreal February 7th, 2004

ZYTRAX, Inc. was founded in 1994 to design, develop and market IP network solutions and services. The company is located in the heart of 'old Montreal' which is North America's premier multi-cultural, multi-lingual city (around 80% of the population of the city are bi-lingual in English and French). Montreal has excellent technical and cultural resources, an amazing choice of resaurants, a great Hockey team (well some years are better than others), great bagels and the vibrancy that comes from strong cultural links to most parts of the world ....oh, and we get a bit of snow in the winter. Just a plain fun place to be based.

The company's founding investors were Technocap, Inc. one of Canada's largest high tech venture capital companies with over $100m in funds and Nouveler, Inc. (the ex venture capital arm of Hydro Quebec). The company also attracted funding from the Quebec government through the former Société Developpement Industriel (SDI now Investissement Québec) whose task was to invest in strategic growth companies. In total the company attracted over $4m in equity, tax credits and long term loans.

ZYTRAX, Inc. has recently launched a range of Office Appliances under the brand name NetWidget. These Appliances are trivial to install, unattended, consume less power than a 60 watt light bulb and come with a full range of office functionality including Windows Domain Contoller (PDC), Web Server, FTP server, email - POP3, IMAP, SMTP, web-mail and calendaring, Print server, network archiving to optical media, RAID 1 disks, DHCP, Firewall, Caching Proxy, NAT, DNS and VPN service. NetWidgets Appliances are slated to ship to beta sites in March 2004 and customer shipments will commence in May/June 2004.

ZYTRAX developed the SteamPacketRadio Air-Frame range of rugged products combining high speed wireless IP data access, VoIP and sophisticated QoS and management features that are reliable and secure over distance (sweet spot is 2km to 10km). The company shipped its first products in September 2001 to New Zealand. Without advertising or promotion, interest and inquiry levels remain incredibly high.

ZYTRAX's core HotPools technology enables bandwidth aggregation and sophisticated distributed resource management of multiple connections to create 'fat pipes'. This technology is used in both its existing ISDN products and in its new wireless product range.

The Warp family of Remote Access products use ISDN technology as the first step in launching a larger vision of how communications and communications systems will develop into the future.

As part of its commitment to IP solutions ZYTRAX launched an full service ISP and hosting operation to bring the benefits of HotPools and wireless technology to vertically oriented business customers. This service is being expanded to include wireless DSL access in early 2004.

The company undertakes specialised FreeBSD, Linux and embedded development projects with high communications content; provides full service turnkey network design, installation and management services and is currently in the process of launching vertical customer support services for Open Source products based on *BSD and Linux platforms.

Additional Information and Contacts

	Background:	Company Background and History
	Press Contacts:	Ron Aitchison
	Tel:	(+01)514.315.4296
	Fax:	(+01)514.870.7458
	e-mail	r.aitchison at zytrax.com
	Web:	www.zytrax.com
	Mail:	ZyTrax, Inc. 6201 Chemin Cote St. Luc Suite 22 Hampstead QC Canada H3X 2H2