Netopia Announces Preliminary Fourth Quarter Revenues for Fiscal Year 2005

EMERYVILLE, Calif. -- Oct. 5, 2005 -- Netopia, Inc. (Pink Sheets:NTPA), a market leader in broadband gateways and service delivery software, today announced preliminary revenue results for the fourth quarter of fiscal year 2005.

Revenues for the fourth fiscal quarter ended September 30, 2005 are currently expected to be between $23.0 million and $23.5 million, compared to $25.8 million for the same period in the prior fiscal year. Revenues for the fiscal year ended September 30, 2005 are currently expected to be between $105.4 million and $105.9 million, compared to $101.3 million for the fiscal year ended September 30, 2004.

These preliminary revenue results for the fourth fiscal quarter reflect lower than originally expected sales of broadband equipment to customers primarily in Europe. During the fourth fiscal quarter, Netopia completed a license of its NBBS remote management software to a major carrier. Fourth fiscal quarter results will not include revenues from this transaction. Netopia expects to recognize revenues from this transaction in future quarters. These preliminary revenue results are subject to completion of customary quarterly and fiscal year closing and review procedures by Netopia's management and its independent auditors.

The statements in this press release are based on information available to Netopia as of the date of this release, and Netopia does not assume any duty to update the projections made in this release at any time.

Netopia expects to announce its results for the fourth fiscal quarter and the fiscal year ended September 30, 2005 on Tuesday, November 8, 2005.

About Netopia

Netopia, Inc. is a market leader in broadband customer premise equipment, remote management software and broadband services. Netopia offers carrier-class wired and wireless modems, routers and gateways. Netopia gateways serve markets from residential through enterprise-scale distributed businesses, and enable broadband access for voice, video, data and other services.