TDS Telecom Launches WiMAX(TM) Services in the U.S. with Alvarion's 4Motion(TM)

National telecommunications carrier delivering primary voice and
data leveraging QoS of Alvarion's 802.16e solution
TEL AVIV, Israel--(Business Wire)--Alvarion Ltd. (NASDAQ: ALVR), the world's leading provider of
WiMAX(TM) and wireless broadband solutions, today announced that TDS
Telecommunications Corp. (TDS), a ranking national telecommunications
provider has launched advanced broadband services using its IEEE
802.16e 4Motion(TM) solution at the 2.5 GHz frequency band.

"With both our residential and business customers, we are
sensitive to our responsibility as a primary voice provider to our
communities," said Lisa Cvengros, executive vice president and CTO of
TDS. "Using VoIP to provide critical primary voice requires both
reliability and quality. The challenge is compounded by bundling data
and voice in the same pipe. Alvarion's Mobile WiMAX(TM) solution has
reliability for critical services like primary voice, as well as
offering excellent quality of service (QoS), and enables us to create
multiple unique service profiles and prioritizations per customer."

"With the QoS capabilities of 4Motion, TDS is able to bundle
primary voice and data, a strong indication of our technology
superiority," remarked Greg Daily, president of Alvarion, Inc. "In
fact, this deployment exceeded expectations because our professional
services team was able to accomplish this with the indoor Si, even
with terrain like Madison."

Voice services are one of the multiple services enabled through
Alvarion's Mobile WiMAX solution. With its award-winning BreezeMAX(TM)
as its radio access network (RAN), 4Motion supports up to eight
customizable service profiles per subscriber, granting TDS the ability
to tailor bundled double play service packages and apply varying
levels of traffic classification and priority at both the subscriber
and network levels.

TDS's WiMAX network deploys both self-install (Si) and
outdoor-mounted subscriber terminals that connect to Alvarion's base
stations, which implement STC (space-time coding) and MRC (maximum
radio combining) 4th order diversity. The local terrain is
characterized by rolling hillsides and extensive tree coverage. In the
initial planning stage, TDS did not intend to use the Si indoor
subscriber out of concern that the terrain obstacles might prevent
reliable connections for primary voice. However, leveraging the
combination of the 4th order diversity base stations and the
patent-pending advanced antenna technology in the Si subscriber
terminal, strong and reliable link budgets were achieved to enable use
of the Si in almost 30% of the customer base.

About TDS Telecom

TDS Telecommunications Corp, a growing national company
headquartered in Madison, Wis., brings high-quality, voice and data
communications services to rural and suburban communities in 30 states
through its brands TDS Telecom (ILEC) and TDS Metrocom (CLEC). The
company provides service for more than 1.2 million access line
equivalents. Visit www.tdstelecom.com and www.tdsmetro.com for more
information.

TDS Telecommunications Corp. is part of the Telephone and Data
Systems, Inc. (AMEX: TDS) family of companies. Telephone and Data
Systems is a diversified telecommunications corporation founded in
1969. Through its strategic business units U.S. Cellular and TDS
Telecom, Telephone and Data Systems provides wireless, local telephone
and broadband service to customers in rural and suburban markets
around the country. The company employs approximately 11,600 people
and serves more than 7.2 million wireless and local telephone
customers in 36 states. Visit www.teldta.com for more information.

About Alvarion

With more than 3 million units deployed in over 150 countries,
Alvarion (www.alvarion.com) is the world's leading provider of
innovative wireless broadband network solutions enabling Personal
Broadband to improve lifestyles and productivity with portable and
mobile data, VoIP, video and other services.

Alvarion is leading the market to Open WiMAX architecture with the
most extensive deployments and proven product portfolio in the
industry covering the full range of frequency bands with both fixed
and mobile solutions. Alvarion's products enable the delivery of
personal mobile broadband, business and residential broadband access,
corporate VPNs, toll quality telephony, mobile base station feeding,
hotspot coverage extension, community interconnection, public safety
communications, and mobile voice and data.

As a wireless broadband pioneer, Alvarion has been driving and
delivering innovations for over 10 years from core technology
developments to creating and promoting industry standards. Leveraging
its key roles in the IEEE and HiperMAN standards committees and
experience in deploying OFDM-based systems, the Company's prominent
work in the WiMAX Forum is focused on increasing the widespread
adoption of standards-based products in the wireless broadband market
and leading the entire industry to Open WiMAX solutions.

This press release contains forward-looking statements within the
meaning of the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995. These 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: the failure of the market for WIMAX
products to develop as anticipated; Alvarion's inability to capture
market share in the expected growth of the WIMAX market as
anticipated, due to, among other things, competitive reasons or
failure to execute in our sales, marketing or manufacturing
objectives; 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; as well as the inability to establish and maintain
relationships with commerce, advertising, marketing, and technology
providers and other risks detailed from time to time in the Company's
20-F Annual Report Risk Factors section as well as in other filings
with the Securities and Exchange Commission.

Information set forth in this press release pertaining to third
parties has not been independently verified by Alvarion and is based
solely on publicly available information or on information provided to
Alvarion by such third parties for inclusion in this press release.
The web sites appearing in this press release are not and will not be
included or incorporated by reference in any filing made by Alvarion
with the Securities and Exchange Commission, which this press release
will be a part of.

You may request Alvarion's future press releases or a complete
Investor Kit by contacting Kika Stayerman, kika.stayerman@alvarion.com
or +972.3.767.4159.

Alvarion Ltd.
Investors:
CFO
Efrat Makov, +972 3 645 6252
+1 650-314-2652
efrat.makov@alvarion.com
or
Claudia Gatlin, +1 212-830-9080
claudia.gatlin@alvarion.com
or
Press:
In the U.S.:
Heather Mills, +1 972-341-2512
hmills@golinharris.com
or
In the U.K.:
Bridget Fishleigh, 44 1273 305 936
bridget@nomadcomms.com

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