Unity Wireless Completes Development and Implementation of Automated Test Equipment

Technology expected to increase gross margins and production capacity at head office


BURNABY, British Columbia, Aug. 3, 2005 (PRIMEZONE) -- Unity Wireless Corporation (OTCBB:UTYW), a developer of integrated wireless subsystems, power amplifiers and coverage enhancement solutions, announced today that it has completed the development and implementation of new, state-of-the-art, automated test equipment at the Company's headquarters. The Company expects that utilizing the new equipment will increase gross margins and production capacity.

The process of manufacturing many of the wireless subsystems sold by Unity Wireless involves a complex testing procedure prior to delivery to the customer. This work is not handled by the Company's contract manufacturer and is completed at the Company's headquarters. By employing automated testing stations that are both constantly monitored and calibrated, many steps in this test procedure are now consolidated into one. This automation can significantly reduce the time required to physically test each unit and directly impacts both the cost per unit as well as production capacity.

Ilan Kenig, President and CEO of Unity Wireless, stated, "We began a pilot program with this equipment earlier this year and were impressed with its efficiency in providing rapid, consistent and well documented test results. As we anticipate that many of the products we have qualified with existing customers will ship in greater volume, we expect that our new automated test equipment will have a positive effect on our business in both quality and financial terms."

Photos of the new automated testing equipment can be found on our website at www.unitywireless.com and by selecting the "Facility Images" icon at the bottom of the home page.

About Unity Wireless, www.unitywireless.com

Unity Wireless is an ISO 9001:2000 certified developer of RF (radio frequency) power amplifiers, components, integrated front-ends and coverage enhancement solutions for wireless communications networks. Our products are an integral part of the base station and repeater infrastructure that comprise the backbone of wireless communications networks around the world. From analog cellular to 3G mobile and fixed wireless applications from 450 MHz to 3.5 GHz, Unity Wireless products deliver enhanced efficiency and performance with field-proven quality and reliability in tens of thousands of base stations and repeaters around the world.

Forward Looking Statements

Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The words "believe," "expect," "feel," "plan," "anticipate," "should" and other similar expressions generally identify forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates. These forward-looking statements are subject to a number of risks and uncertainties, including without limitation, inability to raise the funds necessary for the Company's continued operations, changes in external market factors including the economy and other risks and uncertainties indicated in the Company's most recent SEC filing on form SB-2. Actual results could differ materially from the results referred to in the forward-looking statements.


            

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