Sandvine Incorporated
AIM : SAND
TSX : SVC

Sandvine Incorporated

December 04, 2006 20:00 ET

Sandvine Identifies Surge in Xbox Live and iTunes Traffic

North American service providers observe 80% increase in Xbox Live users

WATERLOO, ONTARIO--(CCNMatthews - Dec. 4, 2006) - Sandvine Incorporated, a wholly-owned subsidiary of Sandvine Corporation (TSX:SVC)(AIM:SAND), identified a surge in Xbox Live and iTunes traffic on North American broadband networks following the release of new Xbox games and iTunes 7.

Through the use of its intelligent broadband network solution, Sandvine observed an 80% increase in the number of Xbox Live users across a sampling of North American-based broadband service providers' networks during the first week following the release of six new Xbox games. On November 7, 2006, Microsoft released six new games for Xbox, including the highly anticipated release of Gears of War, which sold 1-million copies in the first two weeks.

This spike in Xbox Live traffic following the launch of a highly anticipated game is reminiscent of Halo II's release in 2004 (www.sandvine.com/news/pr_detail.asp?ID=65), marking the first boom in online gaming and resulting in the sustainable popularity of Xbox Live.

On September 12th, Apple released iTunes 7, enabling users to download full feature-length films onto their iPods. Based on data available to Sandvine at that time, North American broadband service providers saw an approximate 140% peak increase attributed to iTunes bandwidth usage in the wake of this release.

"The effect Gears of War and other games are having on networks indicates to service providers that online gaming is not just a craze. Their networks must be equipped to protect this increasingly valuable traffic from the effects of a best-effort network," says Dave Caputo, president and CEO of Sandvine. "Other multimedia applications like video downloads onto iPods are increasingly becoming popular, so service providers need to identify these trends early in order to proactively ensure there is adequate capacity to support the extra bandwidth usage."

Sandvine will be demonstrating real network trends and customer data in the Canadian Pavilion at ITU Telecom World Hong Kong from December 4-8, 2006. Visit Sandvine's booth in Hall 2003 for a tour of Sandvine's DPI-based policy solutions or (www.sandvine.com/solutions/xboxlivereport_1.asp and www.sandvine.com/solutions/itunesreport_1.asp) to view the latest Xbox Live and iTunes network charts and trend analysis.

ABOUT SANDVINE

Sandvine's award-winning network equipment helps DSL, cable, and emerging broadband service providers characterize what is really happening on their networks, enabling polices that improve customer satisfaction, reduce operational costs and increase profitably. Sandvine's DPI-based policy solutions are both application and subscriber-aware, empowering service providers to better manage network traffic congestion, mitigate the proliferation of malicious traffic, and deliver QoS-prioritized multimedia services. With 65 customers in 30 countries, Sandvine is enhancing the Internet experience for millions of broadband users worldwide. Sandvine is a wholly-owned subsidiary of Sandvine Corporation (TSX:SVC)(AIM:SAND). www.sandvine.com.

Certain statements in this release constitute forward-looking statements or forward-looking information within the meaning of applicable securities laws and are made pursuant to the "safe harbour" provisions of such laws. Statements related to potential benefits of, and demand for, Sandvine's products including statements with respect to the features and benefits that may be achieved through the use of Sandvine's products and the relative position of these products vis-a-vis competitive offerings in the industry are forward-looking statements which are subject to certain assumptions, risks and uncertainties. These risks and uncertainties include such factors as rapid technological changes, changes in customer architecture and equipment deployment requirements, the introduction of competing technologies, the risks and uncertainties of new product introductions, dependence on key supplies and other similar factors that may cause the actual results, performance or achievements of Sandvine to differ materially from the results, performance, achievements or developments expressed or implied by such forward-looking statements. Readers are cautioned not to place undue reliance on such statements. Sandvine assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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