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Zoom Telephonics Response to 3Com: Planning For A Broadband Future, Zoom Will Not Leave Current Customers Behind

Boston, MA, March 23, 2000 -- Responding to questions raised by 3Com's announced departure from its dial-up modem business, Zoom Telephonics (NASDAQ: ZOOM), maker of Zoom and Hayes brand products, pledged a continuing commitment to the design and production of all types of high-volume Internet access products, including both broadband and dial-up modems.

"Zoom Telephonics has cultivated its customer base and reseller channels for over twenty years," said Frank Manning, Zoom's President. "We will continue to support our Zoom and Hayes brand modem customers and will continue to develop new modem products, including dial-up modems compliant to the anticipated V.92 standard. We believe that the relationship that we have with our current customers and industry partners will be a significant competitive advantage in launching new cable modem, DSL modem, wireless LAN, and home networking solutions."

From Modems to Networking: Broadband and Beyond

Over the past several years Zoom Telephonics has pursued a strategy that anticipated widespread deployment of broadband wide area networking using DSL modems and cable modems. For more than a year, the majority of Zoom's research and development expenditures have been spent on developing broadband technologies, while continuing to support the introduction of new dial-up modems. In addition to developing broadband Internet access products, Zoom has developed easily-installed and easily-managed local area networking (LAN) technologies. Those LAN products are key to the easy distribution of data rates provided by broadband to a rapidly increasing number of computing devices in homes and offices. Zoom's LAN designs include wireless networking, home phoneline networking, and Internet gateway products.

Zoom recognizes that equipment for broadband technologies is currently sold primarily through new data communications channels like cable service providers and DSL service providers, and Zoom is addressing these markets. However, Zoom believes that in the near future broadband equipment will be sold through computer retailers, value-added resellers, Internet Service Providers, and computer distributors in very high volumes. In addition, the traditional computer channels are expected to be critical for the sale of the local area networking products expected by industry analysts to boom with the widespread penetration of broadband service. Zoom values its customers and channel partners, and remains committed to a broad line of Internet access products to service their needs.

"We believe that supporting customers is good business, now and in the future," said Manning. "While technologies may change, we believe our customers and channels will reward our track record of ongoing commitment."

About Zoom Telephonics

Zoom Telephonics, a communications leader since 1977, designs, produces and markets dial-up and broadband modems, wireless LAN products, home phoneline networking devices, and other data communication products under the Zoom and Hayes brand names. Zoom products are available in over 3000 of the highest volume computer retailers in the United States and over 5000 retail outlets worldwide. Zoom Telephonics is publicly traded on NASDAQ (NASDAQ: ZOOM).

Press Contact:
Dan Brunelle

Disclaimer: This press release contains forward-looking information relating to Zoom's plans, expectations, and intentions. Actual results may be materially different from those expectations as a result of known and unknown risks. Zoom cautions readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. Zoom expressly disclaims any obligation to release publicly any updates or revisions to any such statements to reflect any change in Zoom's expectations or any change in events, conditions, or circumstance on which any such statement is based.

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