New KVH TracNet 2.0 Offers Lower-cost, Faster 
Mobile Broadband Wireless Internet Access

Enhanced System Expands Coverage Areas, Lowers Airtime 
Rates, and Provides Greater Versatility via Exclusive Broadband Service

    MIDDLETOWN, RI, October 31, 2002 - KVH Industries (Nasdaq: KVHI), the company that pioneered in-motion broadband Internet access, introduced its new, faster TracNet 2.0 Mobile High-speed Internet System today at the Ft. Lauderdale International Boat Show. TracNet 2.0 offers an expanded array of features that make it the most versatile mobile broadband Internet system available to mariners throughout North America. Among these enhancements are standard coverage that now includes Alaskan and Caribbean waters, KVH's integrated Velocity Acceleration software that significantly boosts transmission speeds, and the ability to maintain a two-way Internet connection even when the TracVision antenna is being used for satellite TV reception. In addition, KVH is reducing TracNet mobile airtime rates by 40%, making the service even more affordable.

    "TracNet 2.0 is a dynamic link to the Internet, e-mail, and company networks thanks to its combination of high-powered mobile DirecPC downloads, built-in networking, and extended coverage capabilities," explained Ian Palmer, KVH vice president of satellite sales. "No other system can offer the range of capabilities built into TracNet 2.0, such as Internet downloads at speeds reaching 400 Kbps and simultaneous Internet access by up to 5 separate users. The first TracNet was a breakthrough combination of technology. We have now built on that initial success and launched an even more versatile system. Whether you need Internet access for business, pleasure, or vital information, TracNet 2.0 is your gateway to the Internet, wherever you travel."

    The TracNet 2.0 system uses a powerful server/router, mobile return paths, the mobile DirecPC Internet service, and a KVH TracVision satellite TV antenna to provide two-way, high-speed access to the Internet even when underway. Broadband downloads are received by the TracVision antenna and are available within the mobile DirecPC coverage area, which encompasses the continental U.S., Canada, and as far as 100 miles off the coast.

    TracNet 2.0's standard coverage area, which includes Caribbean waters and Alaska, provides two-way access at speeds reaching 56 Kbps when using KVH's integrated Velocity Acceleration software. In addition, the standard service can be used even when the TracVision antenna is receiving satellite TV signals, allowing passengers and crew to enjoy their favorite television programming as well as full-featured Internet connections. The powerful server-based TracNet 2.0 offers unmatched versatility that includes 802.11b (Wi-Fi) wireless and Ethernet network connections, permitting as many as 5 computers to surf the web simultaneously.

    "The need for access to the Internet continues to grow among vessel owners," continued Palmer. "The variety of information that is available - investment and business data, sports, news, entertainment, e-mail, weather and navigational information - are all of value to our customers when they are at sea. Our system enhancements, the launch of TracNet 2.0, and the introduction of low airtime rates make two-way, broadband Internet access an affordable and powerful option for boat owners, passengers, and crew throughout North America and the Caribbean."

    High-resolution, press-ready images are available to download from the News section of the KVH Industries web site. The direct link is http://www.kvh.com/Press/pr.asp?id=224&category=SATELLITE.

    KVH Industries, Inc., designs and manufactures products that enable mobile communication, navigation, and precision pointing through the use of its proprietary mobile satellite antenna and fiber optic technologies. The company is developing next-generation systems with greater precision, durability, and versatility for communications, navigation, and industrial applications. An ISO 9001-registered company, KVH has headquarters in Middletown, Rhode Island, with a fiber optic manufacturing facility in Tinley Park, Illinois, and a European sales, marketing, and support office in Hoersholm, Denmark.

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KVH Industries Contact: 
Chris Watson
Communications Coordinator 
401-847-3327 
cwatson@kvh.com

Investor Relations Contact: 
Phil Davidson or 
Jolinda Taylor FD Morgen-Walke 
617-747-3600