Yota RELIES ON HORIZON COMPACT IN EXTENDING RUSSIA’S FIRST 4G NETWORK

Ottawa, Canada, October 6, 2009 – DragonWave Inc. (TSX: DWI) a leading global supplier of packet microwave radio systems for mobile and access networks, today announced Yota has deployed DragonWave’s Horizon Compact in extending Russia’s first 4G network to regions beyond Moscow and St. Petersburg. The DragonWave solution supports 400 Mbps capable links for backhaul of Yota Mobile WiMAX services for business and residential users.

“This is a very large, innovative network, and we’ve invested heavily in promoting our Yota brand. We absolutely could not afford to resort to yesterday’s technologies in rolling out state-of-the-art, mobile broadband access to our customers,” said Dmitry Privalov, Head of Department for Radio Optimization with Yota. “The Horizon Compact is a the industry standard-bearer for performance and flexibility, and DragonWave is constantly innovating its solutions to keep its customers ideally positioned for emerging opportunities. We feel the Horizon Compact is the perfect platform on which to establish Russia’s first 4G network.”

Yota, Russia’s first provider of high-speed wireless Internet, launched in 2007 and selected DragonWave as its supplier of packet microwave radio systems after a successful trial of the Horizon Compact in 2008. The Yota services began commercial operations in June 2009. Yota is already one of the world’s largest and most advanced mobile WiMAX networks. Together with its unlimited high speed internet service, Yota offers online music, TV and video services to its subscribers. The Horizon Compact, a small, 22.86cm-square, all-outdoor unit integrating all traditional indoor and outdoor backhaul functionality provides transport of up to 800 Mbps per link.

“Within two and a half months of beginning commercial operations, Yota already have 100,000 active users. This is obviously one of the world’s most aggressive network operators, and we are thrilled to have been chosen to be one of Yota’s strategic partners,” said Peter Allen, President and Chief Executive Officer of DragonWave. “The Horizon Compact’s track record for successfully enabling mobile 4G networks is growing globally.”

DragonWave Horizon products operate in both licensed and unlicensed radio frequencies between 6 and 38 GHz. An uncompromised product design delivers pure “packet” microwave performance with software scalable, ultra-low latency transport of up to 1.6 Gbps per link. Extremely easy to deploy and manage, DragonWave products deliver carrier-grade (99.999%) interference-free performance in next-generation IP networks.

About Yota

Yota is the first Russian Mobile WiMAX network (in IEEE 802.16-2005 standard) providing high-speed internet access and handover between base stations without session breaking. Yota 4G internet is wireless, high-speed, unlimited and accessible everywhere. Yota’s High-speed wireless network has been already deployed in Moscow, St. Petersburg and Ufa. Various types of devices provide easy connection to Yota. Among them are modems, notebooks, routers and HTC MAX 4G the world’s first GSM+Mobile WiMAX phone. Yota offers unique mobile services, using the possibilities of fast wireless internet access: mobile IPTV, video-on-demand, online music catalogue listing hundreds of thousands of tracks by world leading lables, photoblogging portal and lots of others. Yota brand consolidates the companies, responsible for network deployment, software development and media content aggregation.

For more information, visit the official web-site at www.yota.ru/en/.

About DragonWave

DragonWave® is a leading provider of high-capacity packet microwave solutions that drive next-generation IP networks. DragonWave’s carrier-grade point-to-point packet microwave systems transmit broadband voice, video and data, enabling service providers, government agencies, enterprises and other organizations to meet their increasing bandwidth requirements rapidly and affordably. The principal application of DragonWave’s products is wireless network backhaul. Additional solutions include leased line replacement, last mile fiber extension and enterprise networks. DragonWave’s corporate headquarters is located in Ottawa, Ontario, with sales locations in Europe, the Middle East and North America. For more information, visit http://www.dragonwaveinc.com.