Nuera Raises $20 Million in Financing

Nuera Raises $20 Million in Financing

Investments by Comcast Interactive Capital, Cox Communications, Sandler Capital Management, and Argo Global Capital Reflect Positive Market Traction

SAN DIEGO, CA, May 13, 2003 - Nuera Communications, Inc., a leading provider of Voice-over-Internet Protocol (VoIP) infrastructure solutions for cable television, broadband, and telecommunications service providers, announced today that it has raised $20 million in new financing. The investment was led by Comcast Interactive Capital, Cox Communications, Sandler Capital Management, and Argo Global Capital. Existing Nuera investors HarbourVest Partners, Bay Partners, Gleacher & Co., Goldman Sachs, Deutsche Bank Capital Partners, SAIC Venture Capital, and J.F. Shea also participated in this round.

Nuera, founded in 1997, manufactures carrier-grade VoIP gateways and softswitches for broadband network operators, international long-distance carriers, ILECs, and corporations worldwide. Nuera is the leading media gateway in the cable telephony market and helps cable operators generate revenue and increase network efficiency. Selected recent customer deployments include Comcast, Eastern Broadband Telecom (Taiwan), StarHub (Singapore), and Liberty Media (Puerto Rico).

"Our ability to deliver carrier-class IP telephony solutions has made the company attractive to leading investors," said Bill Ingram, President and CEO, Nuera Communications. "Large cable and broadband service operators throughout the world deploy our gateways in revenue producing networks. This financing validates our market leadership and allows us to continue building solutions that generate revenue for service providers."

"Telephone service represents a tremendous growth opportunity and customer retention tool for the cable television industry. Nuera's solutions play a vital role in the introduction and long-term success of cable telephony," said Louis Toth, Managing Director of Comcast Interactive Capital. "Nuera's significant experience with VoIP gateways, its substantial customer base and seasoned management team were compelling aspects of this investment opportunity."

"The ability for cable operators to offer voice services is critical for their success," said Dallas Clement, Senior Vice President, Strategy & Development, Cox Communications. "Nuera offers solutions for cable operators with existing circuit-switched investments as well as solutions for cable operators with plans to implement a softswitch-controlled VoIP network. We are impressed by the flexibility and strong performance of Nuera's technology."

According to Jeremy Duke, President, Synergy Research Group, "The cable market is one of the few bright spots in the telecommunications industry. The penetration of Nuera's product portfolio into the cable market positions Nuera to be a significant player in the VoIP space."

About Nuera

Nuera Communications, Inc. is a leading provider of Voice-over-Internet Protocol (VoIP) infrastructure solutions that work over any medium (cable, wireless, copper and fiber). Nuera stands out as a leader in the broadband telephony market and helps define industry standards. The company's Open, Reliable Communications Architecture (ORCA®) product portfolio helps carriers worldwide migrate from legacy networks to next-generation VoIP networks.

About Comcast Interactive Capital

Comcast Interactive Capital (CIC) is a venture capital fund focused on broadband, enterprise and interactive technologies. CIC is affiliated with Comcast Corporation, a diversified global leader in cable, broadband services, telecommunications, electronic commerce, and entertainment. CIC's primary goal is to generate superior financial returns from private equity investments in early-stage technology companies. To achieve this goal, CIC works to foster the success of its portfolio companies by bringing to bear the unique resources, experience, and insight of both CIC and the Comcast family of companies. Additional information is available at www.civentures.com.

About Cox Communications

Cox Communications (NYSE: COX), a Fortune 500 company, is a multi-service broadband communications company serving approximately 6.3 million customers nationwide. Cox is the nation's fourth-largest cable television provider, and offers both traditional analog video programming under the Cox Cable brand as well as advanced digital video programming under the Cox Digital Cable brand. Cox provides an array of other communications and entertainment services, including local and long distance telephone under the Cox Digital Telephone brand; high-speed Internet access under the brands Cox High Speed Internet and Cox Express; and commercial voice and data services via its affiliate Cox Business Services, LLC. Local cable advertising, promotional opportunities and production services are sold under the Cox MediaSM brand. Cox is an investor in programming networks including Discovery Channel. More information about Cox Communications can be accessed on the Internet at www.cox.com.

About Sandler Capital Management

Sandler Capital Management is a media and communications investment manager founded in 1980. Sandler Capital manages both public and private equity through its hedge funds and multi-stage private equity partnerships. These investment vehicles focus primarily on traditional media, entertainment, telecommunications, information technology, and related industries. Sandler Capital currently has approximately $1.5 billion in assets under management. Additional information can be found at www.sandlercap.com.

About Argo Global Capital

Argo Global Capital is a leading venture capital firm focused on investing in communication technology companies. We are dedicated to helping entrepreneurial ventures achieve enduring success. Our unique relationship with telecommunications operators (our "Operator Partners") and industry partners on four continents provides us with relationships and knowledge that add real value and increase the odds of our portfolio companies achieving their goals. Additional information is available at www.argoglobal.com.

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For more information contact:

Lauren Moore
Phone: 001.858.824.4068
FAX: 001.858.535.0975
e-mail: lmoore@nuera.com