California's Leading Wireless ISP, NextWeb, Secures New Funding

Newest Funding Round Raises $1.5 Million, Draws New Investor

    NextWeb, California’s leading fixed wireless network service provider, today announced that it has closed its newest round of funding. This latest round, which included private equity and debt totaling $1.5 million was partially funded in late October, and allowed the company to complete its previously announced acquisition of Southern California-based Worldwide Wireless Networks, and to provide sufficient capital to fund current operations through profitability, projected for 2003.

    The most recent round was co-led by current investors Kaiser Permanente National Venture Development and Monet Capital Group. A new investor in NextWeb, Sunsino Venture Group, as well as NextWeb management also participated in the round.

    This is the fourth round of funding for NextWeb, and the second time the company has successfully raised capital in the current down market, indicating continued strong support for the company’s vision, leadership and solid business model.

    “Fixed-wireless is gaining significant attention in the market as a cost-effective means of providing quality broadband services to the SME market,” said NextWeb CEO, Graham Barnes. “We are extremely pleased with the support we have received from our investors. This latest round will allow us to accelerate our growth plans while maintaining fully funded operations.”

    NextWeb’s customer base and monthly revenues have each growth by over 300% in the last 12 months. NextWeb is California’s largest wireless ISP, providing service to over 60 cities in Northern and Southern California.

    About NextWeb
    NextWeb, Inc. is California's largest wireless Internet service provider, providing high-speed service to more than 500 enterprise customers in Northern and Southern California. NextWeb typically installs dedicated high-speed Internet access to corporate users in three to seven days. The company's basic service is 30 percent faster than a T1 at approximately half the cost, easily scaling to six times the speed of a T1. The company is fully funded and is backed by leading venture and strategic investors including Monet Capital, Kaiser Permanente, Tenet Healthcare and Sunsino Venture Group. Additional company information is available at www.nextweb.net 

# # #

Media Contacts:
David Williams
VP Marketing & Business Development 
NextWeb, Inc. 510-870-8297
dwilliams@nextweb.net 

Lawrence Smalheiser 
Public Relations 
e21corp 
510-226-6780 ext. 162 
lawrence_smalheiser@e21corp.com