Versatel Deploys Ceragon's Wireless Solutions for Triple Play Broadband Services

Ceragon Networks Ltd. (NASDAQ and TASE: CRNT), http://www.ceragon.com, a global provider of high-capacity broadband wireless systems, announced today that Versatel, a leading telecommunications provider in the Netherlands, has deployed Ceragon's radios to expand and enhance its Ethernet data network and provide "triple play" broadband services.

Versatel expanded its network with Ceragon's FibeAir 1500P to offer business and residential customers mainly in the Benelux market, converged data, voice and video services for applications including VoIP telephony, Internet and TV over DSL. Versatel deployed Ceragon for its IP backhaul as a point-to-point solution for DSLAM connectivity in areas where there is no fiber optics reach and as a cost-effective alternative to existing leased lines.

"The unmistakable trend toward end-to-end IP-based networks and converged broadband services represent immense potential for wireless infrastructure," said Ira Palti, President and Chief Executive Officer of Ceragon. "All of Ceragon's solutions are geared toward convergence and are optimized for IP networking. We are pleased to have been chosen by Versatel and look forward to addressing their customers' evolving needs for broadband services."

Ceragon's high capacity FibeAir 1500P is used to carry Versatel's Gigabit Ethernet traffic over 622 Mbps using a single indoor unit. Versatel benefits from FibeAir's combined advantages of inherent redundancy and maximum hardware efficiency.

About Versatel

Versatel is an ambitious telecommunications company on the Dutch and Belgian market. The company has an extensive product portfolio of fixed telephony, data, internet and mobile telephony products. Versatel was founded in 1995. Today Versatel is a mature company with more than 1,100 employees. Versatel (VRSA) is publicly traded at Euronext Amsterdam. Versatel has an asset that most other operators of fixed telephony do not have; it owns an extensive DSL- and fiber optic network. An advantage that allows Versatel to offer a complete package of services to the business and residential market. From a subscription for telephony and super fast internet to innovative and fully managed data solutions. On July 18, 2005 Tele2 announced its interest in the Benelux activities of Versatel telecom International N.V. As a result of the recent settlement of the Offers, Versatel and Tele2 will combine their forces going forward. News and information are available at http://www.versatel.com.

About Ceragon Networks Ltd.

Ceragon Networks Ltd. (NASDAQ and TASE: CRNT), a pacesetter in broadband wireless networking systems, enables rapid and cost-effective high-capacity network connectivity for mobile cellular infrastructure, fixed networks, private networks and enterprises. Ceragon's modular FibeAir(R) product family operates across multiple frequencies, supports integrated high-capacity services over SONET/SDH, ATM and IP networks, and offers innovative built-in add/drop multiplexing and encryption functionality to meet the growing demand for value-added broadband services. Ceragon's FibeAir product family complies with North American and international standards, and has been installed for more than 150 customers in more than 60 countries. More information is available at http://www.ceragon.com.

Ceragon Networks(R), CeraView(R), FibeAir(R) and the FibeAir(R) design mark are registered trademarks of Ceragon Networks Ltd., and Ceragon(TM), CeraMap(TM), PolyView(TM), ConfigAir(TM), CeraMon(TM), EtherAir(TM), QuickAir(TM), QuickAir Partner Program(TM), QuickAir Partner Certification Program(TM), QuickAir Partner Zone(TM), EncryptAir(TM) and Microwave Fiber(TM) are trademarks of Ceragon Networks Ltd.

This press release may contain statements concerning Ceragon's future prospects that are "forward-looking statements" under the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations and projections that involve a number of risks and uncertainties. There can be no assurance that future results will be achieved, and actual results could differ materially from forecasts and estimates. Important factors that could cause actual results to differ materially from forecasts and estimates include: Ceragon's limited operating history and history of losses; Ceragon's dependence on a limited number of key customers, independent manufacturers and suppliers; and the demand for Ceragon's products and technology. These risks and uncertainties, as well as others, are discussed in greater detail in Ceragon's Annual Report on Form 20-F and Ceragon's other filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date on which they are made and Ceragon undertakes no commitment to revise or update any forward-looking statement in order to reflect events or circumstances after the date any such statement is made.

Company Contact: Investor Contact:

Monique CohenVered Shaked

Ceragon Networks Ltd. Ceragon Networks Ltd.

+972-3-766-8430 +972-3-645-5513

monique@ceragon.com ir@ceragon.com

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