CSI Wireless Receives Initial $20-Million Purchase Order for its Fixed Wireless Telephone

CSI Wireless Inc. has received an initial $20-million purchase order for its Motorola-branded fixed wireless telephone for sale in Latin America and other developing countries.

CALGARY, Sept. 26,2002 - (TSE:CSY): CSI Wireless Inc., a leader in GPS and wireless technology products for automotive, consumer and commercial applications, today announced it has received an initial purchase order from Brightstar Corporation valued at more than $20 million for its new three-watt, digital, fixed-base wireless telephone.

The telephone, developed and supplied by CSI Wireless, is being distributed in Latin America by Brightstar Corporation. Brightstar is a Motorola licensee and is branding the phones as the Motorola FX800t. Product shipments have begun, with the full amount of this initial order to be delivered within five months.

The purchase order stems from a development and supply agreement announced by CSI Wireless on May 14, 2002. Today, CSI disclosed the two companies that were not named in the May 14 announcement. The development and supply agreement was signed with Brightstar Corporation. The telephones distributed by Brightstar will bear the Motorola brand name.

The previously announced agreement was conditional on CSI's fixed wireless telephone meeting high quality product standards to the satisfaction of Brightstar and Motorola. CSI Wireless is pleased to report that it has successfully met these standards, resulting in the initial purchase orders.

"This has been a very significant achievement for our company," said Stephen Verhoeff, President and CEO of CSI Wireless. "We are confident in the quality and performance of this new product and believe that it is well positioned to win part of the huge global market for fixed wireless telephones. The dollar value of this initial contract is a good indicator of the size of the market opportunity for this product in Latin America."

"As wireless communication technology evolves, it brings to us new and significant business opportunities in the market place. The need for fixed wireless solutions as a substitute to land line phone service has created such an opportunity for us, specifically in the Latin America region," Brightstar Vice-President Jaime Narea stated. "In order to address this opportunity with a superb product and brand, we are delighted to be part of a strategic synergy with CSI Wireless and Motorola."

The Motorola FX800t is a "fixed base" rather than a mobile phone in that it resembles a typical desktop or wall-mounted phone, and requires an AC wall outlet rather than a mobile battery power source. But it is wireless in that it communicates using cellular networks rather than linking to traditional copper-wire phone networks.

The Motorola FX800t is employed as part of wireless local loops - primarily in rural or remote areas where land-based copper wire systems are unavailable, prohibitively expensive or unreliable. Its three-watt power capability gives Motorola FX800t users greater range and better service than what is available from lower-power 0.6-watt digital alternatives.

Most copper line telephones are concentrated in a relatively small number of industrialized countries. Other countries that lack this relatively expensive telecommunications infrastructure are recognizing its absence as a barrier to public safety and economic growth. In developing countries, wireless local loop (WLL) phone systems are often the fastest and most cost- effective method of providing basic telecommunications services.

There are now more wireless phones than traditional copper-wire lines in some Latin American countries - highlighting a wireless communications explosion there, and other parts of the world, where land lines are scarce. Many new wireless users have never had conventional phones, and live in areas where there are no copper lines.

Substituting wireless phones for conventional phones is also a growing trend in developed countries. Eleven per cent of U.S. households will make wireless rather than land-line phones their primary means of communications by 2006, says Forrester Research, in a report published earlier this year.

"This new fixed wireless telephone has tremendous global potential, due to its low cost, high power and reliability," Mr. Verhoeff said.

About the Motorola FX800t
The Motorola FX800t is a dual-mode (800 MHz/TDMA digital and AMPS analog frequencies) fixed wireless telephone with up to three watts of power output in TDMA mode (a feature previously available only on fixed-base analog devices), 832 channels, PIN security to lock and unlock the phone, an 11-digit display and built-in speakerphone. It also has 199 memory locations, 16 alpha and 32 numeric digits per location, on-hook dialing capability, one-touch dialing and programmable one-touch emergency dialing. The Motorola FX800t uses standard AC power but features emergency backup battery power. The Motorola FX800t is the result of collaborative work between CSI Wireless and its partner, Telian Corporation of Korea. Telian's engineering team has provided strong mechanical and industrial design support for the product and is contributing strongly to the manufacturing of the product.

About Brightstar
Founded in 1997, Brightstar Corporation is a solution provider and        value-added distribution and manufacturing services company. The company provides customers in the wireless industry with inventory management, logistics, fulfillment, Internet-based solutions, customized packaging and after-sales support. Brightstar ranks sixth on the Hispanic Business 500 and number one on its technology list. Its customer base includes over 100 network operators and nearly 6,000 distributors, agents, resellers and retailers around the world. Brightstar is one of Motorola's strategic partners in Latin America and the U.S. and an authorized distributor for all leading wireless equipment manufacturers. Brightstar operates 18 facilities in 14 countries worldwide. Its headquarters is based in Miami, FL, with operations in Argentina, Bolivia, Brazil, Colombia, Chile, the Dominican Republic, El Salvador, Guatemala, Mexico, Paraguay, Peru, the United States and Puerto Rico, Uruguay and Venezuela. During the year ended December 31, 2001, Brightstar's consolidated revenues were $631 million. The company expects to exceed $800 million in consolidated revenues in fiscal 2002. For more details, visit www.brightstarcorp.com.

About CSI Wireless
With offices in Calgary, Silicon Valley, and Phoenix, CSI Wireless (TSE:CSY) designs and manufactures innovative, cost-effective, wireless and GPS products for mobile and fixed applications in the agriculture, marine, automotive and other markets. Through the integration of GPS and wireless, CSI has begun serving several emerging high-growth markets including Fleet Management, Asset Tracking, Telematics and Mobile Computing applications. The Company owns several patents and intellectual property relating to wireless and GPS technologies. CSI Wireless has licensed its cellular technology to GPS, cellular handset, and chipset manufacturers. The Company's common shares trade on The Toronto Stock Exchange under the trading symbol "CSY", with approximately 19.1 million outstanding. For online information about CSI Wireless, go to www.csi-wireless.com

The above disclosure contains certain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond CSI Wireless' control, including: the impact of general economic conditions, industry conditions, increased competition, the lack of availability of qualified personnel or management, fluctuations in foreign exchange or interest rates, stock market volatility and market valuations of companies with respect to the announced transactions and the final valuations thereof, and obtaining required approvals of regulatory authorities. CSI Wireless' actual results, performance or achievement could differ materially from those expressed in, or implied by these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits, including the amount of proceeds, CSI Wireless will derive therefrom.

For further information:

- Stephen Verhoeff, President & CEO, CSI Wireless Inc., (403) 259-3311, sverhoeff@csi-wireless.com
- Cory Pala, Investor Relations, E-vestor Communications Inc., (416) 657-2400, cpala@e-vestorcom.com
- Jeff Adams, Public Relations Manager, CSI Wireless Inc., (403) 259-3311/615-8747 (cell) jadams@csi-wireless.com
- Jaime Narea, Vice-President, Brightstar Corporation, 1-305-477-8676, Jaime.narea@brighstarcorp.com