xG Technology, Inc. Signs Teaming Agreement With Military and Federal Government Provider Force 3, Inc.

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xMax Cognitive Radio Solutions to be Included in Upcoming US Army Contract Proposal

xG® Technology, Inc. ("xG" or the "Company"), the developer of a portfolio of wireless communications technologies, including cognitive radio networks, is pleased to announce that it has signed a Teaming Agreement (the “Agreement”) with Force 3, Inc. (“Force 3”), a Crofton, MD-based technology integrator and solutions provider.

xG has been selected by Force 3 to be a named strategic partner in the proposal Force 3 will submit under the ITES-3H (Information Technology Enterprise Solutions-3 Hardware) contract awards process. The Army will issue its RFP (Request for Proposal) in February 2012, and the award will be announced in the summer of 2012.

If Force 3 is awarded the US Army ITES-3H contract, xG’s xMax cognitive radio solutions and services will be used to fulfill the cellular wireless component of the award. The xMax cognitive radio solution was deployed earlier this year in six-month field trials conducted by the US Army, as well as by technicians in the Army Research laboratory.

“We are excited to partner with innovative companies like xG Technology that have developed and deployed cutting-edge systems that answer global mobile communications needs,” said Mike Greaney, Vice President of Sales for Force 3. “Their xMax cognitive radio networking system offers a compelling solution to the challenge faced by the military of ensuring robust, reliable communications that support all phases of military operations.”

The ITES-3H contract will serve as a vehicle for the purchase of xMax cognitive radio equipment by military branches, as well as Federal agencies. The key technical aspect of the Agreement with Force 3 outlines the use of xMax cognitive radio access network (C-RAN) solutions to offer a cellular wireless component that extends the Cisco VoIP core and IP enterprise infrastructure, while adding extra wireless capacity to military and federal networks. This capability is made possible by the ability of xMax to operate over freely available unlicensed frequencies without the need to acquire and purchase costly additional wireless spectrum.

In addition to providing xG prospective customers with a streamlined procurement path for obtaining its products, the Agreement will give xG the opportunity to benefit from joint marketing activities with Force 3, as well as access to other Force 3 strategic value chain partners.

As the primary vehicle for the Army's Program Executive Office-Enterprise Information Systems to purchase state-of-the-art commercial server, storage, networking equipment and related products on a worldwide basis, the ITES-3H will consist of multiple catalogs for commercial IT products.

“We are proud to partner with strong, established organizations like Force 3. Teaming arrangements such as this one, with companies that are focused on the delivery of products and services through a comprehensive, global value chain, are consistent with our go-to-market strategy for growing the sale and distribution of xMax equipment into additional vertical markets,” said John Coleman, Chief Executive Officer of xG Technology.

If chosen to fulfill the award by the Department of the Army, Force 3 will serve as the prime contractor and xG would enter into a formal subcontractor agreement with Force 3 to supply and deliver xMax products and services in fulfillment of the contact.

Force 3 has a proven history with the Department of Defense, having provided it with products, services and support to nearly 150 locations around the world since 1991. Force 3 is a Cisco Gold Partner, VMware Premier Partner, and Velocity Advantage and Authorized Services Network Partner for EMC Corporation.

xG Technology is a leading developer of innovative and disruptive communications technologies for wireless networks. Its extensive patented intellectual property portfolio covers a broad range of applications including cognitive radio networks. The Company has commercialized some of these technologies to create xMax, the world’s first carrier-class cognitive radio network.

xMax’s standards-based IP architecture minimizes network deployment, management and operational costs while simplifying the delivery of profitable fixed and mobile services. Using field-proven cognitive radio technology, xMax enables the delivery of these revenue-generating mobile services in both licensed and unlicensed bands. In its initial commercial offering, the xMax cognitive radio system enables carriers and other operators to monetize profitably the free unlicensed spectrum in the 900MHz ISM band.

xMax also offers unique capabilities to enterprises, utilities, government agencies and others who require advanced wireless communications to support business operations and mission critical applications.

xG offers turnkey xMax network solutions including base stations, mobile switching centres, network management systems, deployment tools, end-user equipment and customer support.
xG has deployed a 32 square mile xMax network in Fort Lauderdale, Florida to showcase its cognitive radio, mobile VoIP and dynamic interference mitigation capabilities. The Company’s xMax products have been successfully tested and trialed by the US Army at two of its US bases. Based in the USA, xG has over 60 US and more than 130 international patents and pending patent applications. For more information, please visit http://www.xgtechnology.com.

Force 3 is the trusted provider of Data Center, Communication and Collaboration, Borderless Networks and Cyber Security services for Federal agencies, Enterprise organizations and their key partners. With headquarters in Crofton, Maryland. and offices in Herndon, Virginia. and San Antonio, Texas, Force 3 has a 20-year history of delivering, supporting, and maintaining cost-effective IT products and services. At Force 3, we have a relentless focus on achieving our customers’ end goal through innovation, unique solutions and highly trained, passionate people. Our dedication has resulted in being named one of Cisco’s Top 5 Federal Gold Partners in America, as well as Federal Virtualization Partner of the Year in 2011. For more information, please visit http://www.force3.com.


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Gina Zuk
Force 3
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