New Smart Broadband Wireless Enterprise Access Server expands Madge's 
Wireless LANs Product Family AMSTERDAM, The Netherlands, Dec. 

Smart Wireless Enterprise Access Server simplifies the deployment 
of large, cost-effective and secure multi-vendor Wireless LANs

    AMSTERDAM, The Netherlands, Dec. 2, 2002 - Madge Networks N.V. (NASDAQ: MADGF) today announces the extension of its Wireless product family with a complete scalable software-only solution for the secure management of Enterprise Wireless LANs. Madge's new, Smart Wireless Enterprise Access Server, provides leading-edge features simplifying the deployment of large, secure and managed Wireless networks. Major features of this solution are:

(a) Enterprise Wireless Security: The Smart Wireless Enterprise Access Server fully implements Madge's standards compliant "5 element security model" launched in May 2002 that allows customers to select their Wireless security policies from a comprehensive range of options. These include 802.1x certificate based client authentication with automatic assignment of encryption keys, as well as VPN, firewalls and integral RADIUS Server.
(b) Multi-vendor Access Point Management: The software provides scalable support from 10's to 1000's of enterprise end-users, and is built for quick installation on any LINUX supported server. The Smart Wireless Enterprise Access Server manages the Madge 802.11 Access Point, as well as Access Points from other leading Wireless vendors including Cisco, Orinoco, Symbol, Intel, Avaya and 3Com.
(c) Supports Multiple Wireless Technologies: The software manages Wireless LANs operating to the 802.11a and 802.11b standards, and will upgrade to future Wireless LAN technologies and security standards with minimal change to the core management platform. In addition, the software manages Bluetooth devices for the Wireless connection of appliances such as PDAs and telephones.
(d) Modular Software Architecture: The Enterprise Access Server has been developed entirely to industry networking standards and can be implemented on any standard LINUX platform. Ethernet, Gigabit and Token-Ring connectivity allow seamless integration in high-speed Enterprise backbone networks.

    "The 802.11 business hardware market has grown explosively during the last 2 years, with annual shipments of access points and clients expected to reach almost 18 million in 2003, and grow to almost 27 million annual shipments in 2004. The early small department office networks are now growing up into enterprise wide deployments, and Madge's Smart Wireless Enterprise Access Server provides comprehensive and scalable tools to centrally manage the configuration and security of multi-vendor Wireless networks," remarked Gemma Paulo, Industry Analyst, In-Stat MDR.

    "The launch of the Smart Wireless Enterprise Access Server is Madge's next step in its roll-out of a complete enterprise class Wireless LAN solution," commented Martin Malina, CEO, Madge Networks. "Wireless LANs managed by Madge's Access Servers are now viable direct alternatives to fixed-wire LAN installations: equal in security, lower cost of ownership, and well adapted to modern office working."

    "The new scalable Smart Wireless Enterprise Access Server both complements and significantly extends the Smart Wireless Access Server that was launched during May 2002," continued Martin Malina. "Madge continues to enhance the compact Smart Wireless Access Server which is ideally suited for initial deployments, smaller offices, work-groups and branch offices with teams of up to 64 Wireless users. The Smart Wireless Enterprise Access Server gives our customers the next level of scalability in the deployment of secure and cost effective WLAN's. These 2 solutions are unique in the industry in their ability to simplify, secure and manage multi-vendor Enterprise Wireless Networks."

    The Madge Smart Wireless Enterprise Access Server (Part Number 95-02) will start shipping in Software Media Packs supporting 50, 200 or 1,000 Wireless clients, and will retail at $15,000 for the 200 device license pack. The Madge Smart Wireless Access Server (Part Number 95-01) will now retail at $3,999, including the hardware platform and support for up to 64 Wireless clients. Further details can be found at www.madge.com/Wireless. These products will all be available through Madge's worldwide network of Wireless Resellers during December 2002.

    About Madge Networks N.V.
    Madge Networks N.V. (NASDAQ: MADGF) is a global supplier of advanced networking product solutions to large enterprises, and is the market leader in Token Ring networking. Madge Networks is pioneering next generation networking solutions, which enable the painless deployment Wireless and also 100Mbps and Gigabit speed IP-based applications within existing corporate networks while protecting customers' investments in Token Ring. Madge Networks also has an associate company, Red-M(TM), a market leader in Wireless networking solutions. Madge Networks' main business centers are located in Wexham Springs, United Kingdom and New York. Information about Madge Networks' complete range of products and services can be accessed at www.madge.com.

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             CONTACT: 
             Madge Networks N.V.
             Simon Drennan, +44 1753-661-000                             
             simon.drennan@madge.com                            
             or
             IBA, PR for Madge Networks     
             Simon Gribbon, +44 1780-721-433          
             Sgribbon@iba-europe.com