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Press Release - May 2000
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DTE Energy Technologies Selects Coactive Networks Internet Gateways to Roll Out New Class of E-Services to Businesses

Coactive Gateways to Reduce Operating Costs and Deliver Competitive Advantage to Energy Provider

SAN DIEGO, Calif., (CONNECTIONS 2000) -- May 3, 2000 -- Coactive Networks, the leading provider of residential gateways for connecting the Internet to all devices in homes and businesses, has been selected by DTE Energy Technologies as the premier supplier of a complete gateway solution for delivering e-services to its business customers. DTE Energy Technologies is an affiliate of Detroit Edison, the nation's seventh largest electric utility, and a subsidiary of DTE Energy Company.

DTE Energy Technologies is using the Coactive Connector® gateway to roll out two innovative Web-based service bundles, energy|now and safety|now. Energy|now is a unique combination of energy monitoring and data services that helps businesses achieve significant operating cost reductions, while safety|now integrates temperature monitoring with other systems to help ensure food safety for a wide range of businesses involved in food service.

"Our commitment to using leading-edge technologies to enhance the customer experience and reduce operating costs led us directly to Coactive," stated Jim Gariepy, vice president information technologies for DTE Energy Technologies. "The Coactive Connector provides a flexible yet cost-effective platform for introducing a growing range of innovative new services across diverse customer classes."

"This collaboration between Coactive and DTE Energy Technologies signals the importance of a gateway solution for delivering true value to customers and ultimately, for securing a preeminent competitive advantage in the smart enterprise and in the new digital home," said David Gaw, president of Coactive Networks. "The Coactive Connector gateway will provide DTE customers with a new class of e-services - making the business of the future, a reality today."

About the Coactive Connector Product Family Coactive's commercial and residential gateways are unique in enabling e-services that go beyond PC Internet access. The Coactive Connector provides a central Internet connection to multiple devices - from energy meters to security systems to dishwashers - which enables a new class of telemetry e-services. As a result, the Coactive Connector gateway gives service providers access to new revenue streams and in turn, a competitive advantage. The Coactive Connector incorporates the patent-pending distributed object technology of Coactive's IOConnect Architecture™, providing the reliability, scalability, and manageability required for complex and large-scale systems.

About DTE Energy Technologies DTE Energy Technologies is a diversified high-technology company offering a broad range of products and services to solve the energy-related challenges of commercial, residential and industrial customers. Among these are energy systems that provide generation (both on-site power and stand-by) such as fuel cells from Plug Power, a leading residential fuel cell developer originally formed as a joint venture between DTE Energy and Mechanical Technology Inc.

DTE Energy Technologies' parent company, DTE Energy, is an $11 billion (assets) diversified energy company involved in the development and management of energy-related businesses and services nationwide. Its principal operating subsidiary is Detroit Edison, an electric utility serving 2.1 million customers in Southeastern Michigan. More information can be obtained at DTE Energy's Website, www.dteenergy.com.


Coactive Networks Unveils the First Full-Service Residential Gateway

The Coactive Connector 3000 to Champion the Next Generation in Home Networking with a Wide Range of E-services for the Home

SAN DIEGO, Calif., (CONNECTIONS 2000) -- May 3, 2000 -- Coactive Networks, the leading provider of residential gateways for connecting the Internet to all devices in homes and businesses, today unveiled the Coactive Connector® 3000 Series, the first full-service residential gateway, designed to enhance productivity and simplify everyday life for millions of consumers worldwide. The Coactive Connector 3000 Series links a single Internet connection to multiple PCs, household appliances, electronic devices, and systems such as home security - giving consumers access to a wide range of unprecedented e-services.

Control Solutions, Inc The residential gateway market, which Cahners In-Stat Group estimates will grow to between $2.4 billion and $8.8 billion over the next three years, is being driven by home networking technologies and high-speed Internet access via DSL and cable modems. Service providers, such as utility, cable and telecommunications companies, will use the residential gateway to win customers by offering them a compelling array of bundled services.

"The residential gateway is a key part of extending the availability of Internet applications across multiple devices to all desired locations in the home," said Tricia Parks, president of Parks Associates, a co-sponsor of Connections 2000. "The Coactive Connector 3000 design offers a simple, integrated solution that delivers shared Internet access along with integrated connectivity to all of the other devices and appliances in the home, enabling a smorgasbord of new services beyond e-mail and web surfing."

"The Coactive Connector 3000 will ignite a new era in home connectivity - transforming the Internet from an information-gathering tool to a truly sophisticated instrument that gives consumers a profound level of convenience and control in their everyday lives," said David Gaw, president of Coactive Networks. "This first-of-its-kind full-service residential gateway delivers on the promise of the 'smart home,' not just for the affluent, but for millions of mainstream households."

Telemetry E-services: Making the Home of the Future A Reality Today With the Coactive Connector 3000 Series, home devices can access and exchange data with other devices via the Internet, and just as importantly, consumers can access home information remotely using a Web browser or wireless phone. As an Internet access device, the Coactive Connector 3000 allows multiple PCs to share a single Internet connection from any phone jack in the house. However, the true value of the Coactive gateway is in taking the Internet beyond PCs altogether in the form of telemetry e-services.

Telemetry e-services use the residential gateway to give common household devices an Internet interface so consumers can see what's happening at home-and take action from afar. Telemetry e-services connect consumers to their homes, allowing them to remotely check in on elderly relatives, see whether they left the stove or iron on, remotely disable the security system to let a neighbor in, or receive instant alerts upon detection of intrusion, water leaks or unusual temperatures.

As deregulation across the telecommunication and energy industries presses forward, the Coactive Connector 3000 Series provides a flexible yet cost-effective platform that utility and broadband service providers can use to gain an important foothold in the new digital home. By expanding value with consumers, these service providers can gain new revenue streams while creating a key competitive advantage in the rapidly changing marketplace.

The Coactive Connector 3000: A New Era in Home Networking The Coactive Connector 3000 Series supports no less than three home networking media, communicating to every phone jack and electrical outlet in the home, as well as connecting directly to systems such as security and climate control. By activating this web of connectivity throughout the home, the Coactive Connector 3000 is able to reach every PC, appliance, electrical outlet, and control system. By adding intelligence to these devices and providing a connection to the Internet, the gateway enables the delivery of multiple services such as shared Internet access, home security, home medical care, appliance monitoring, energy metering, and home automation. By incorporating the patent-pending distributed object technology of Coactive's IOConnect Architecture, the Coactive Connector 3000 enables service providers to deploy a single infrastructure that is scalable to millions of homes.

The Coactive Connector 3000 Series will be available in a desktop version for easy hook-up to DSL or cable modems, and is competitively priced for mass-market deployment by service providers. General availability of the first product in the Coactive Connector 3000 Series is scheduled for Q3 2000.

To date, Coactive's commercial and residential gateway solutions have been integrated into a host of next-generation service provider offerings. Sensel AB, a Swedish communications company, plans to deploy the Coactive Connector solution to more than 400,000 homes over the next two years. Additionally, companies like Genentech and Motorola leverage Coactive's commercial solutions to monitor energy usage, regulate temperature settings and centralize building monitoring systems. Building on this steady stream of successes, the Coactive Connector 3000 Series will usher in an exciting new era of communication options for the home.

About Coactive Networks Coactive Networks extends Internet access to every device, appliance, control system and computer - connecting networks to the real world. The Coactive Connector® and Coactive Router product families deliver a new class of telemetry e-services to homes and businesses worldwide. The leader in Internet telemetry, Coactive Networks delivers affordable, scalable connectivity with a highly integrated third-generation residential gateway platform and the patent-pending distributed object technology of the IOConnect Architecture(tm). Coactive is a privately held corporation based in Sausalito, California. More information on Coactive can be found at http://www.coactive.com.


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