CHIPCOM EXPANDS ROUTING CAPABILITY ACROSS ITS COMPLETE LINE OF INTELLIGENT
SWITCHING SYSTEMS

New Edge Router Modules Increase Wide Area Connectivity and Protocol
Support for Ethernet and Token Ring LANs

SOUTHBOROUGH, Mass., September 13, 1995 -- Chipcom Corporation
(Nasdaq/CHPM) today extended high-performance, low-cost routing across its
entire line of intelligent switching systems by unveiling new additions to
its Edge Router suite of products.

Today's announcement includes new router modules for Chipcom's range of
platform offerings -- the ONcore Switching System, ONline (TM) System
Concentrator and ONsemble StackSystem (TM) -- that support both Ethernet
and Token Ring networks. The new Edge Router Modules use the standard
versions of Cisco Systems' Internetwork Operating System (IOS) software,
assuring interoperability with other Cisco routers.

Jointly developed with Cisco Systems, the scalable Edge Router Modules
operate at the "edge" of a corporate network -- whether a remote office or
the far reaches of a central facility. Chipcom's Edge Router Modules
connect two or more Local Area Networks (LANs), with up to three redundant
links to ensure fail-safe network availability. With one Ethernet or Token
Ring LAN and up to three Wide Area Network (WAN) connections, the Edge
Router Modules are an extremely cost- effective way to provide WAN
connectivity.

The serial ports on the Edge Router Modules can run as fast as T1/E1
speeds. This provides flexibility for companies to start with low- cost
dial-up connectivity and migrate to high-speed leased lines as their
connectivity requirements grow.

According to Rob Ayres, senior product manager at Chipcom, "Because the
Edge Router Modules ensure common functionality across Chipcom's various
switching platforms, the investments customers make today will help them
quickly and easily migrate into newer technologies as their network grows
in the future."

Enhanced Protocol Support

The new Edge Router Modules resulted from a joint development agreement
between Chipcom and Cisco Systems, and run Cisco's standard IOS software.
Chipcom now offers four different versions of IOS to satisfy a customer's
routing needs from basic to full-featured.

At the same time, the Edge Router Modules take full advantage of Chipcom's
switching technology, allowing managers to change network layouts on the
fly by switching the router to any of the hub's internal networks. Using
Chipcom's ONdemand (TM) NCS network management software, managers can
simply move the router to the desired network via a point-and-click
graphical interface.

In addition to the Edge Router Modules, the company also introduced the
ONcore Ethernet and ONline Token Ring Carrier Modules. This carrier
technology is used to provide consistent product functionality across all
the company's hub families. It also forms the basis for the Chipcom
OpenHub (TM) Program that incorporates complementary networking technology
from other third-party companies.

Availability

The ONcore and ONline Ethernet and Token Ring versions of the Edge Router
Modules are scheduled to be available in volume within 60 days. The
ONsemble Token Ring versions of the Edge Router Modules are scheduled to
be available during the fourth quarter of 1995.

Founded in 1983, Chipcom Corporation designs, manufactures, markets, and
services fault tolerant intelligent switching systems, including hub,
internetworking and network management products, for remote site, campus
and enterprise network computing environments. The Southborough, Mass.
based company reported record revenue of $268 million for its 1994 fiscal
year, ended December 31, a 67 percent increase over 1993. For the first
six months of its 1995 fiscal year, ended July 1, Chipcom reported sales
of $157.7 million.

According to the market research firm Dataquest, Inc., Chipcom is the
world's third largest supplier of intelligent hubs. Together with its
resellers, Chipcom has a presence in more than 200 countries, and the
company employs over 930 people worldwide. For the third consecutive year,
Chipcom has been cited by Fortune magazine as one of the 100 fastest
growing companies in America.

Chipcom has signed a definitive merger agreement with 3Com Corporation of
Santa Clara, Calif., dated July 26, 1995. Completion of the transaction is
subject to regulatory approvals and approval by Chipcom's shareholders.
The merger is scheduled to close in October.
 
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