Path 1 Receives $2 Million Order From Frontiers Co., Ltd.

Path 1 Receives $2 Million Order From Frontiers Co., Ltd.

New Purchase Order to Double Path 1 Business in Japan

SAN DIEGO, Dec. 20 /PRNewswire-FirstCall/ -- Path 1 Network Technologies Inc. (AMEX:PNO), a leading provider of video routing products that enable the transmission of broadcast-quality video over IP networks, announced today that it has received a $2 million purchase order from Frontiers Co., Ltd., Path 1's value-added partner in the Japanese market. Under the terms of the agreement, Frontiers has extended its reseller arrangement with Path 1 through 2005. Frontiers will continue to serve as Path 1's primary sales channel within the Japanese market, as well as a premier reseller of Path 1 products within the greater Asia-Pacific region.

Commenting on the deal, Frontiers CEO Hiroshi Tango stated, "We are very pleased that our relationship with Path 1 continues to grow. With the rapid proliferation of Video over IP deployments throughout Asia, as well as the convergence of high definition video with IP, we have seen an increase in demand on the part of our customers for proven and reliable products that enable them to meet their video transportation needs. Path 1 products have been well received, not only because of their technical superiority, but also their ability to integrate into virtually any type of network infrastructure and to support both existing and next generation video applications. "

The new agreement, which is double the value from the previous year, covers Path 1's full suite of products. This will include the company's long haul broadcast products, the Ax100 and Cx1000, as well as the Chameleon VidX product line, which is designed for cable companies and more specialty video applications. In addition, Frontiers will receive the first shipment of Path 1's Chameleon VidXwan, the industry's first Pro-MPEG standard-based, multi-port video router. The Chameleon VidXwan, which enables network service providers to efficiently distribute live MPEG-2 video in both standard (SD) and high definition (HD) format over IP networks, will begin shipping in March 2005, and will be jointly displayed by Path 1 and Frontiers in their respective booths at the NAB 2005 show in Las Vegas, April 16-21.

John Zavoli, CEO of Path 1, said, "Frontiers has quickly established itself as a premier partner to Path 1 and a key component of our overall sales strategy. As a reseller, they have opened an invaluable sales channel for our products in the Asia-Pacific market. Looking ahead, we believe our on-going joint sales and marketing efforts will continue to benefit both companies and provide a competitive advantage that is unmatched in the marketplace. We are excited about the increasing demand for HD transport over IP networks we are seeing in Japan. "

About Path 1 Network Technologies Inc.

Path 1 Network Technologies Inc. develops video routing products that enable the transportation and distribution of real-time, broadcast-quality video over IP networks. From the delivery and distribution of broadcast video content to Video on Demand (VOD), Path 1's video infrastructure platforms allow high-quality transmission of point-to-point, multipoint and multiplexed data over legacy IP systems. To find out more about Path 1 Network Technologies Inc. (AMEX:PNO), visit our Web site at www.path1.com or call 877/ONE-PATH (663-7284).

SAFE HARBOR STATEMENT: This news release contains "forward-looking statements" that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events or results to differ materially from those projected in the forward-looking statements, including the risks that we will require future financing, that our products may not achieve customer or market acceptance, or that they will not perform as expected, that customer trials may not lead to future sales, that our sales and gross profits may fluctuate between reporting periods and other risks identified in our annual report on Form 10-K and other filings with the SEC. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements are made as of the date hereof and Path 1 undertakes no obligation to update such statements.

You may register to receive Path 1 Network Technologies' future press releases or download a complete Digital Investor Kit(TM) including press releases, regulatory filings and corporate materials by clicking on the "KCSA Interactive Platform" icon at www.kcsa.com.

Media Contact: Investor Contact:
Chris Langlois Todd Fromer/Erika Levy
Path 1 Network Technologies KCSA Worldwide
(858) 450-4220 Ext.180 (212) 896-1215/(212) 896-1208
clanglois@path1.comtodd@kcsa.com/elevy@kcsa.com


Source: Path 1 Network Technologies Inc.

CONTACT: Media, Chris Langlois of Path 1 Network Technologies,
+1-858-450-4220, ext. 180, clanglois@path1.com; or Investors, Todd Fromer,
+1-212-896-1215, todd@kcsa.com, or Erika Levy, +1-212-896-1208,
elevy@kcsa.com, both of KCSA Worldwide, for Path 1 Network Technologies Inc.

Web site: http://www.path1.com/
http://www.kcsa.com/


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