© Copyright Alvarion Ltd.

AlvarionAlvarion

Andrea Marco Andrea Marco BorsettiBorsetti

2005 ICTP - Trieste2005 ICTP - Trieste

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Safe Safe HarbourHarbour

This presentation may contain forward-looking statements within the meaning of the “safe harbor”

provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may

be identified by, among other means, the use of the terms “shall”; “will”; “may”; “might”; “could”;

“should”; anticipate”; “expect” (or variations of any of such terms) or by reference to the possibility,

expectation or lack of expectation that specified circumstances or events may occur in the future.

Forward-looking statements are based on the current expectations or beliefs of Alvarion’s

management and are subject to a number of factors and uncertainties that could cause actual results

to differ materially from those described in the forward-looking statements. The following factors,

among others, could cause actual results to differ materially from those described in the forward-

looking statements: an inability to further identify, develop and achieve success for new products,

services and technologies; increased competition and its effect on pricing, spending, third-party

relationships and revenues; an inability to establish and maintain relationships with commerce,

advertising, marketing, and technology providers; a failure to satisfy conditions to the obligations of

other persons to Alvarion; a failure of other persons to satisfy their obligations to Alvarion; and other

risks and contingencies described or referred to from time to time in filings with the Securities and

Exchange Commission. Alvarion disclaims any duty to update such forward-looking statements.

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At a GlanceAt a Glance

Worldwide leader in wireless access30-35% market share of global BWA marketLargest installed base - over 2,000,000 units deployed in more than 130countriesForefront of wireless standards & leadershipfrom 802.11 to 802.16eProviding solutions for extending mobile coverageand specialized CDMA and next generation networks

Local presence in 23 locations:Australia, Brazil, China, Czech Republic, France, Germany, Hong Kong,Ireland, Israel, Japan, Mexico, Nigeria, Philippines, Poland, Romania,Russia, Singapore, South Africa, Spain, UK, Uruguay, USA (Californiaand Miami)

Employees: 900 with around 400 in R&D

Established: 1992

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At a GlanceAt a Glance

Global solutions provider of three metro wireless technologies:wireless broadband, WLL and cellular

Industry consolidatorBreezeCOM+ Floware + InnoWave + interWAVEFinalized acquisition of interWAVE Dec 2004

Diversified customer base & outstanding partner networkincluding Alcatel, Lucent, Nera, Siemens and over 200 localpartners

Strong financial position

14 consecutive quarters of revenue growth as of Q4/04

Q4/04: revenues of $55.9M

Profitable and cash flow positive

Around $133M in cash

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Alvarion is leading the broadband wireless market to the widespreadadoption of standards-based fixed and mobile solutions

AlvarionAlvarion’’ss Strategy Strategy

Continue to dominate the global BWA market with over 30% market share

Maintain technology leadership to keep barriers to entry high

Main consolidator

Extend leadership in fixed BWA to mobile WiMAX

Remain at the forefront of standards development

Combine technology and expertise from both fixed BWA and cellular businesses

Use financial strength and flexibility as strategic competitive advantage

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Broadband Wireless Broadband Wireless ““Last MileLast Mile”” Access Access

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Broadband AccessBroadband Access

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Worldwide DSL MarketWorldwide DSL Market

Source: Yankee Group 2004

Total Worldwide DSL Lines

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Wireless Networks Will CoexistWireless Networks Will Coexist

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Alvarion CustomersAlvarion Customers

Carriers (incumbent, cellular, alternative)and ISPs, regional operators

Wireless DSL

Leased line, fiber replacement

Base station feeding

Compact cellular network/extensions

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Alvarion ApplicationsAlvarion Applications

Developing areas: Wireline infrastructure poor or lacking

Copper / fiber substitute

Voice with some data

Cellular voice and data

Developed areas: With quality infrastructure

Hole-filling; DSL / cable refugees

Specialty cellular networks

Developing

Developed

Alvarion Revenue by Type of Market(Approximate)

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CompetitionCompetition

Alvarion is the worldwide leader in the BWA market

Global BWA Equipment Market Q1-Q3 2004 (Skylight Research, 12/04)

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Alvarion Core Technical ExpertiseAlvarion Core Technical Expertise

DSPOver 54 Mbps OFDM PMP architecture (VLIW)36 Mbps QAM PMP

PMP System & ProtocolsOptimized PMP air protocolsToll Quality VoiceDynamic Bandwidth AllocationQuality of Service (QoS)

RadioVariety of high-performance radiosOperating in the widest range of frequency bands 450MHz - 28 GHz

CellularGSM / CDMA network and transmissionIP-based mobile switch (softswitch) and legacy GSM switchingOutdoor mobile solution (network on wheels)

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Alvarion Product FamiliesAlvarion Product Families

BreezeMAX™BreezeACCESS®

BreezeNET ® MGW /eMGW™

WALKair ®

UltraWAVE WAVE 2000

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Alvarion Product FamiliesAlvarion Product Families

Alvarion Product Portfolio – Total Coverage

Cellular Residential SOHO MTU SME MBU LE

LMDS 26/28 GHz

10.5 GHz

5GHz

3.5 GHz

US MMDS

2.4 GHz

1.9 GHz

800 MHz

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BreezeMAXBreezeMAX

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BreezeMAX - Taking BreezeMAX - Taking WiMAXWiMAX to the MAX to the MAX

WiMAX-ready solution

BreezeMAX 3500 operates in 3.5GHz

High coverage and availability (NLOS, OFDM)

Multi application multi service platform:

Base Station: High Density (chassis) or Micro (single sector)

CPEs:

Data Bridge

Voice Gateway

Networking Gateway

Residential & enterprises, high density and rural zones for voice, data, video

Carrier-grade NMS

QoS to support multi-applications: voice, leased lines, VPNs & data services

50 installations worldwide (commercial deployments and trials)

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UltraWAVEUltraWAVE / WAVE2000 / WAVE2000

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UltraWAVEUltraWAVE / WAVE2000 / WAVE2000

Fixed and mobile cellular networks

Cellular extension for emerging markets

Bandwidth efficient terrestrial and satellite backhaul

UltraWAVE

GSM

Distributed switching

Scaleable architecture

End-to-end network solutions

850, 900, 1800, 1900MHz

WAVE2000

CDMA 2000-1x

Complete IP-based architecture

Softswitch platform

Compact and scaleable

450, 850, 1900, 2100MHz

UltraWAVE

WAVE 2000

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BreezeACCESSBreezeACCESS

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Most field proven BWA system in the world

Access, backhauling, mobility

Flexibility and modularity

Complete SpectrumTM solution

900MHz, 2.4, 2.5, 3.5, 4.9, 5.2, 5.4, 5.7 GHz

Multiple customer profiles

Residential, SOHO, SME, MTU

3 Mbps – 54 Mbps

Varied services

Bandwidth management, prioritization, CIR/MIR, security

Adaptive modulation, OFDM

Integration into the network, easy operation

Fast and easy deployment

BreezeACCESSBreezeACCESS

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MGW / MGW / eMGWeMGW

MGW800MHz, 1.5, 1.9, 2.4, 2.4 (ISM), 3.4-3.8GHzLow cost toll quality voice telephony,dial-up and fax

eMGW1.5, 1.9, 2.4, 2.4 (ISM) 3.4-3.8, 5.7GHzDSL Data + toll quality voice telephony,dial-up and fax512Kbps (symmetric)

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Around 1 million deployed lines

Toll quality voice, fast Internet, Fax G3, Modem V.92

Cost effective for residential, SOHO & small business users

Tailored for urban, suburban & rural areas

FH-CDMA TDD, operating in 800MHz - 5.7GHz

Long range: Up to 25km

Cell capacity: 1000 Erlang, 1- 80 Mbps

Efficient spectrum utilization

Reuse 1:1

MGW / eMGW coexistence

MGW/MGW/eMGWeMGW

Toll quality TDM voice and DSL data services

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WALKairWALKair

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Field proven Multi-Service System

Access, feeding

WALKair 1000 – 3.5, 10.5, 26 GHz

Multi-carrier 64QAM

4 Mbps, full duplex

E1, IP, V35, FR, BRI, V5, Multi-POTS

WALKair 3000 – 10.5, 26, 28GHz

Multi-carrier 16QAM/QPSK (adaptive)

36 Mbps, full duplex

E1, IP, Network Interface: ATM, E1/E3, 100BaseT

Alvarix – The best of WALKair 1000 and 3000

WALKairWALKair

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BreezeNETBreezeNET

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BreezeNET B

PTP in 5.2, 5.4, 5.7GHz

NLOS, OFDM, up to 54Mbps

BreezeNET DS.11

Extra long range outdoor wireless bridge

802.11b at 2.4 GHz / 5.8GHz at 11Mbps

BreezeNET PRO.11

WLAN connectivity at 2.4 GHz at 3Mbps

Unique robustness through Frequency Hopping

BreezeNETBreezeNET

Robust outdoor solutions for bridging and backhaulingCorporate Office

RemoteBranch

Bridging

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Regional ChannelsRegional Channels

Direct Sales 50-60%

OEM 10-20%

Channels 30-40%

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Global Customer BaseGlobal Customer Base

Customers: Local presence in 22 countriesCarriers (incumbent, cellular, alternative) Over 2,000,000 units deployedISPs and regional operators More than 130 countries

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Only BWA vendor with Complete Spectrum™solution of 900 MHz, 2.4, and 5 GHz

300,000 units deployed with over 2,000 operators

Largest deployments in US

AMA Techtel (Texas)

Midwest Wireless (Minnesota)

Utilities:

Wheatland Electric, Owensboro (OMU)

Municipalities:

Sailor, York, Alleghany

Texas, Minnesota, Kansas Texas, Minnesota, Kansas …………

Extensive U.S. DeploymentsExtensive U.S. Deployments

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Mexican Incumbent

Largest Telecom provider in Latin America

Main Shareholder: Group Carso

Telephony and Data Wireless DSL services

Target market - mainly residential users

Massive installation hundreds of thousands of deployed lines

Deployed in 10 divisions throughout Mexico

Mainly suburban and rural areas

MGW & eMGW systems, operating in 3.5GHz

MexicoMexico

TelmexTelmex –– Access ILEC Access ILEC

www.telmex.com

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Alvarion 3.5GHz Deployments in ChinaAlvarion 3.5GHz Deployments in China

Cities of China Telecom

Cities of China Unicom

Cities of China Netcom

Cities of China Railcom

Cities of China Mobile

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Telecom Italia Mobile largest shareholder

Leading cellular and long-distance operator

Leveraging on existing infrastructure

Generating revenues withminimal CAPEX and OPEX

Over 30,000 customers connected

Deploying BreezeACCESS XL in 3.5GHz

Currently overlaying the network with BreezeMAX

ChileChile

EntelEntel –– Access Cellular Operator Access Cellular Operator

www.entel.cl

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Owned by France Telecom, Polish government, Kulczyk

70,000 lines in Suburban & rural mainly for residential

Telephony (POTS), voice-band-data and ISDN-BRI

Deployed around 100 base stations

MGW system operating in 2.4GHz

Deployed in over 40 cities throughoutPoland with other operators including:Netia, Dialog, Elnet, PTO

PolandPoland

TPSA TPSA –– Access ILEC Access ILEC

www.telekomunikacja.pl

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Russian (Rostelecom) –American (GoldenTelecom) telecom venture, founded 1990

Offers voice, data and feeding services toRussian enterprises

BWA network is used as complimentaryoffering for both feeding and access solutions

Wireless network serves two key Russianmarkets: Moscow & St. Petersburg

Deploying WALKair 1000 in 3.5 & 10.5GHz

RussiaRussia

SovintelSovintel –– Backhauling Backhauling

www.sovintel.com

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Privately held ISP in Amarillo, TX

Offers Internet and VPN services

Achieved rapid return on investment

Covering 20,000 square miles

Almost 6,000 CPE installed

Deploying BreezeACCESSComplete Spectrum™

USAUSA

AMA AMA TechtelTechtel –– ISP ISP

www.amatechtel.com

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Key Success DriversKey Success Drivers

Next Generation Technology economical, high quality

wire line alternative

Regulation EvolutionIncreased allocation ofLicensed and Unlicensedbands

Carrier Demandto serve ‘White Zones’

& ‘DSL Refugees’

AccelerationStage

StandardizedTechnology 802.16

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The Next WaveThe Next Wave

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New BreezeMAX PlatformNew BreezeMAX Platform

Expertise in OFDM technology

Working with OFDM technology for over 5 years

Already proven NLOS capabilities

Strategic Relationship with Intel

Close collaboration on chip for CPE

Chosen by Intel as system house to test chip

Time-to-market advantage

Differentiation from Competitors

BreezeMAX platform designed from ground upvs. adapting existing product

Flexible architecture to support future enhancements

First to market enables valuable field experience

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Market GrowthMarket Growth

Mobile - WiMAX $20B

Fixed BWA $300M

Fixed - WiMAX $1-2B

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Broadband Wireless Application PortfolioBroadband Wireless Application Portfolio

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The The WiMAXWiMAX Roadmap Roadmap

MobilitySolution Characteristics• CPE Native in Mobile PC• User can roam within the

service area at varyingspeeds

Applications• “Mobile” Broadband

access for consumers• Always Best Connected

(SNS)

20042004 Going ForwardGoing Forward

Fixed OutdoorSolution Characteristics• Fixed location• Installed outside of

subscriber’s house• Requires truck roll

Applications• E1/T1 Level Service for

Enterprises• Backhaul for Hotspots• Fractional E1/T1 for SMB• Limited residential

broadband access(early adopters, rural,developing countries)

Fixed IndoorSolution Characteristics• Consumer – self install,

auto provisioning• Portable – can ‘move’

CPE to another locationin service area

Applications• “Last Mile” Broadband

access for consumers• Portable broadband

access

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Recent DevelopmentsRecent Developments

Successful WiMAX deployments and trials with over 50operators, including:

Mobile City, ScandinaviaIberbanda, SpainAltitude, France

New OEM AgreementsLucentAlcatel

First to announce Mobile WiMAX solutionbased on 802.16e standardavailable in 2006new business unit created to draw on technology and expertise fromboth BWA and cellular businesses

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Global GrowthGlobal Growth

Worldwide Broadband Wireless Equipment Revenue <10GHz

Source: Sky Light Research 2004

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Continuous Revenue GrowthContinuous Revenue Growth

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Why Alvarion?Why Alvarion?

Leading the Broadband access / WiMAX revolution

Best positioned to continue to lead this market:

Branded as the number one provider of broadband wireless solutions

Excellent technology, range of products and roadmap

Exceptional channels and partners with global reach

Best available partner to our customers

Strong financial position

Strong management and international board of directors

Track record as successful consolidator

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Thank you

Alvarion, BreezeCOM, BreezeMAX, BreezeNET, BreezeMANAGE, BreezeACCESS, BreezeLINK, BreezePHONE, WALKair, WALKnet, MGW, eMGW are either registered trademarks, tradenames or service marks of Alvarion Ltd.

Andrea Marco Borsetti

andrea.borsetti@alvarion.com

Sonia Sabato

sonia@sinewire.com