NETGEAR Increases Port Shipments, Extends Strong Second-Place Worldwide Market Share Leadership in Layer 2 / Layer 3 Ethernet Switches

NETGEAR Increases Port Shipments, Extends Strong Second-Place Worldwide Market Share Leadership in Layer 2 / Layer 3 Ethernet Switches

Infonetics Research, Inc., Reports NETGEAR Port Shipment Increase Greater Than Other Leading Competitors to Extend its Second-Place Market Share Position in Layer 2/Layer 3 Ethernet, Gigabit Fixed Configuration and Total Fixed Configuration Switch Markets

SANTA CLARA, Calif., Dec. 21 /PRNewswire-FirstCall/ -- NETGEAR(R) Inc., (NASDAQ:NTGR) a worldwide provider of technologically advanced, branded networking products, today announced the release of a Layer 2/Layer 3 market share report by Infonetics Research, Inc., that demonstrates NETGEAR extended its worldwide market share position second only to Cisco in ports shipped in the L2-L3 Ethernet Switch, Gigabit Fixed Configuration Switch and Total Fixed Configuration Switch categories.

According to the November 2004 market analysis report on L2-L3 Ethernet switches, NETGEAR's port shipments increased by 62 percent year over year for Q3, outpacing other leading top four competitors including Cisco, D-link, and 3com to take market share and extend its second-place position in the overall category. The Infonetics study also reported that NETGEAR also held second place in all three subcategories including the fixed configuration switch ports, 100M fixed configuration, and 1G fixed configuration category.

NETGEAR also continues its first place market share position in the unmanaged switch port category with more ports shipped for the first three quarters of 2004 than anyone else in North America, according to NPD data.

"NETGEAR's legacy in business-class Ethernet switching has enabled us to establish and grow our market leadership position worldwide with a complete product line built upon a reputation for affordable network solutions with best-in-class performance, versatility and reliability for growing small- and medium-sized businesses," explained Patrick Lo, CEO and Chairman of NETGEAR. "Infonetics projects that worldwide L2-L3 Ethernet switch revenue will grow to nearly $16 billion by 2007 and NETGEAR is poised to increase its market share in the segment by continuing to introduce affordable, value-packed, technologically advanced switches to our expanding product offerings."

The NETGEAR ProSafe(TM) family of value-packed managed and unmanaged Ethernet and Gigabit switches and popular "lightly managed" Smart Switch family includes the ProSafe 24+2 L3 Managed 10/100 Switch with Power-over-Ethernet (FSM7326P), ProSafe 24-Port L3 Managed Gigabit Switch (GSM7324), ProSafe 12-Port L3 managed Gigabit Switch (GSM7312), ProSafe 48+2 L2 Managed 10/100 Switch with Two Gigabit Ports (FSM750S), ProSafe 24+2 L2 Managed 10/100 Switch with Two Gigabit Ports (FSM726S), ProSafe 24-Port L2 Managed Gigabit Switch (GSM7224), ProSafe 12+2 L2 Managed Gigabit Switch (GSM712), ProSafe 12-Port Layer 2 Managed Gigabit Switch (GSM7212), ProSafe 12-Port L2 Managed Fiber Gigabit Switch (GSM712F), ProSafe 24-Port 10/100 Smart Switch with Gigabit Ports (FS526T), ProSafe 48-Port 10/100 Smart Switch with Gigabit Ports (FS750T), ProSafe 24-Port Gigabit Smart Switch (GS724T), ProSafe 48-Port Gigabit Smart Switch (GS748T), and ProSafe 16-Port Gigabit Smart Switch (GS716T).

About NETGEAR, Inc.

NETGEAR designs technologically advanced, branded networking products that address the specific needs of small and medium business and home users. The Company's suite of over 100 products enables users to share Internet access, peripherals, files, digital multimedia content and applications among multiple personal computers and other Internet-enabled devices. NETGEAR is headquartered in Santa Clara, Calif. For more information, visit the company's Web site at www.netgear.com or call 408-907-8000.

NOTE: NETGEAR(R), the NETGEAR Logo and ProSafe are trademarks or registered trademarks of Netgear, Inc. in the United States and/or other countries. Other brand and product names are trademarks or registered trademarks of their respective holders. Information is subject to change without notice.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 for NETGEAR, Inc.:

This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Specifically, statements concerning worldwide Ethernet switch market opportunity and growth, NETGEAR's general market position and ability to grow revenue and market share and the expected performance characteristics, specifications, market acceptance, market growth, specific uses, user feedback and market position of NETGEAR's ProSafe family of products and technology are forward-looking statements within the meaning of the Safe Harbor. These statements are based on management's current expectations and are subject to certain risks and uncertainties, including, without limitation, the following: the Ethernet switch market may not grow as projected, NETGEAR may not be able to maintain or increase its market share, the actual price, performance and ease of use of NETGEAR's ProSafe family of products may not met the price, performance and ease of use requirements of customers, product performance may be adversely affected by real world operating conditions, the ability of NETGEAR to market and sell its products and technology, the impact and pricing of competing products and the introduction of alternative technological solutions. Further information on potential risk factors that could affect NETGEAR and its business are detailed in the Company's periodic filings with the Securities and Exchange Commission, including, but not limited to, those risks and uncertainties listed in the section entitled "Risk Factors Affecting Future Results," pages 15 through 22, in the Company's Quarterly Report on Form 10-Q for the fiscal quarter ended October 3, 2004, filed with the Securities and Exchange Commission on November 17, 2004. NETGEAR undertakes no obligation to release publicly any revisions to any forward-looking statements contained herein to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

(Photo: http://www.newscom.com/cgi-bin/prnh/20030730/NETGEARLOGO )

Photo: http://www.newscom.com/cgi-bin/prnh/20030730/NETGEARLOGO
AP Archive: http://photoarchive.ap.org/
PRN Photo Desk, photodesk@prnewswire.com
Source: NETGEAR Inc.

CONTACT: Doug Hagan of NETGEAR Inc., +1-408-907-8053, or
doug.hagan@netgear.com; or Ken Hagihara of Integrity Public Relations,
+1-949-768-4423, or ken@integritypr.net, for NETGEAR Inc.

Web site: http://www.netgear.com/


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