Chipcom Corporation announces a technology agreement with Xylogics, Inc.

SOUTHBOROUGH, Mass.-- Chipcom Corporation (Nasdaq/CHPM) today announced a
technology agreement with Xylogics, Inc. (Nasdaq/XLGX) to deliver
cost-effective, integrated, communications server solutions to branch
offices, telecommuters and other off-site users.

The two companies have developed the Chipcom Communications Server Modules
for Chipcom's ONline System Concentrator and ONcore Switching System
platforms. Based on Xylogics' Remote Annex 4000, the Communications Server
Modules combine terminal server, dial- in remote access using modems or
Integrated Services Digital Network (ISDN) terminal adapters, shared
dial-out to on-line services and dial-up routing, all in a single module.

The new Communications Server Modules use technology from the Chipcom
OpenHub Program, which includes a carrier that supports any number of
daughterboards or third-party products. It also provides a common
interface to all Chipcom's intelligent switching systems, delivering
consistent product functionality across the company's entire hub product
line.

"Our customers have been asking for a flexible, reliable, open and
affordable solution to put the corporate network resources in the hands of
their off-site users," said Cliff Sharin, product marketing manager at
Chipcom. "By integrating Xylogics' server technology into Chipcom's ONline
and ONcore Switching Systems, we're delivering an interoperable,
manageable solution that adds significant functionality and value to a
customer's enterprise network."

According to Grace Carr, vice president of North American sales and
worldwide marketing at Xylogics, "We are excited to announce the
availability of our award-winning Remote Annex 4000 for Chipcom s ONline
and ONcore Systems. The addition of Chipcom as our latest hub technology
partner will also further broaden the range of superior products that will
be now be available to our customer base."

Available in 16- and 32-Port versions, the Chipcom Communications Server
Modules provide multiprotocol terminal server support to connect users to
UNIX, Digital Equipment or IBM host machines. Chipcom's Communications
Server Modules also support remote dial- in to IPX, TCP/IP and Apple
Remote Access networks, enabling remote users to access information
resources connected to enterprise Local Area Networks ( LANs). The server
software image can be loaded over the network from a host, another server
or optional internal flash EPROMs.

Chipcom's Communications Server Modules support multiple levels of security
to prevent unauthorized users from gaining access to protected hosts or
other services on the network. In addition, these modules support routing
protocols, such as IPX, PPP, SLIP or CSLIP, to provide dial IP LAN-to-LAN
connections. IP users can also use active RIP protocols to communicate
across LAN segments.

Through a resident Simple Network Management Protocol (SNMP) agent, the
Communications Server Modules provide in-band monitoring and configuration
control from any SNMP-compliant management application, including
Chipcom's ONdemand Network Control System, and is supported on HP OpenView
(UNIX and Windows), SunNet Manager and IBM NetView/6000.

Availability and Pricing

Chipcom's Communications Server Modules are scheduled to be available in 60
days at the following North American list prices:

 MODEL      DESCRIPTION                                       PRICE

 5117C-XS   16-Port ONline Communications Server Module       $3,895
 5133C-XS   32-Port ONline Communications Server Module       $4,995
 6117C-XS   16-Port ONcore Communications Server Module       $4,395
 6133C-XS   32-Port ONcore Communications Server Module       $6,395

Xylogics, headquartered in Burlington, Massachusetts, with offices in the
UK, France, Germany, and the Far East, offers a complete line of award
winning analog and ISDN remote access products that provide remote users
and offices transparent access to corporate networking resources. Xylogics
supplies network access products to all leading hub vendors, including
Chipcom, as well as a number of other computer networking manufacturers.

ISO 9001 certified, Xylogics sold over 525,000 ports in calendar year 1994
and is recognized by both IDC and In Stat as a market leader in the remote
access space. Xylogics products are sold by 250+ resellers and
distributors worldwide. Xylogics can be accessed electronically at
sales@xylogics.com, or through Xylogics' home page on the World Wide Web
at www.xylogics.com.

Founded in 1983, Chipcom Corporation designs, manufactures, markets, and
supports 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. The company's Home Page
on the World Wide Web can be accessed at: http://www.chipcom.com.

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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