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Digitel Selects Ceragon for Wireless Backhaul Network Migration to IP

Ceragon receives $3.5 million order to provide its Native2 IP/TDM solutions for Digitel’s 2G/3G mobile network upgrade project in the Philippines

TEL AVIV, Israel, July 9, 2008 - Ceragon Networks Ltd. (NASDAQ and TASE: CRNT), a Ceragon Networks Ltd. (NASDAQ and TASE: CRNT), a leading provider of high-capacity wireless backhaul solutions, today announced that its advanced FibeAir® solutions have again been selected for deployment by Digitel Mobile Philippines, Inc. (DMPI), a leading cellular telecommunications provider in the Philippines. DMPI, which operates under the brand name of Sun Cellular, will use Ceragon’s advanced solutions as part of its network upgrade to provide 3G data and multimedia services based on IP technology. This order totaling over $3.5 million, follows several successful deployments of Ceragon’s wireless backhaul solution for DMPI over the past years.

DMPI’s new 3G network will enable its customers to enjoy a wide range of data and multimedia services. As part of the process of deploying new 3G base-stations, DMPI is migrating its backhaul network to IP using Ceragon’s Native2 FibeAir solutions. These high-capacity systems allow DMPI to use cost-optimized wireless Ethernet to deliver high-speed data and video content, while maintaining TDM for voice services.

“We have a proven and successful track record using Ceragon solutions throughout our network,” said a Digitel Mobile company official. “Ceragon systems allow us to reach ultra-high speeds using wide-band channels at the 56MHz range. In addition, FibeAir solutions support native TDM on top of native Ethernet. All these factors played an important role in our selection of Ceragon.”

Ceragon’s Native2 platforms are designed to provide a fast and reliable Ethernet transmission solution for mobile, WiMAX, private and metro area networks, while also enabling native TDM traffic. Supporting the entire licensed spectrum, from 6GHz – 38GHz, the solutions incorporate comprehensive Ethernet networking capabilities including advanced QoS for differentiated services, flow control and sophisticated traffic balancing. Utilizing full range dynamic adaptive modulation, Ceragon’s IP solutions help maximize capacity of any frequency channel while guaranteeing critical services. Digitel Mobile is also employing Ceragon’s FibeAir product family in their metro area network upgrade, including SDH high-capacity protected links in 2 xSTM1 configuration. Covering the entire city of Manila, this hybrid SDH/IP network will allow reliable mobile and data services for the densely populated area.

“We are extremely happy to extend our relations with Digitel Mobile,” said Ira Palti, President and CEO of Ceragon. “Digitel, like many other large operators around the globe, is taking a path of gradual migration to IP which requires support for both legacy and next-generation technologies over the same radio network. This is exactly the trend we were anticipating and for which we have designed our Native2 concept and the FibeAir IP products family.

About Digitel Mobile Philippines Inc.

Digitel Mobile Philippines Inc. (DMPI) is the wireless subsidiary of Digital Telecommunications Philippines Inc. (Digitel), which, in turn, is 47%-owned by JG Summit Holdings. DMPI commercially launched its wireless service operations under the brand name of Sun Cellular on March 2003. Sun Cellular is the country’s third and newest mobile phone service provider. It offers the latest in GSM technology, providing voice services, messaging services, outbound and inbound international roaming, and value-added services.

About Ceragon Networks Ltd.

Ceragon Networks Ltd. (NASDAQ and TASE: CRNT) is a leading provider of high capacity wireless backhaul solutions that enable wireless service providers to deliver voice and premium data services, such as Internet browsing, music and video applications. Ceragon’s wireless backhaul solutions use microwave technology to transfer large amounts of network traffic between base stations and the infrastructure at the core of the mobile network. Ceragon designs solutions to provide fiber-like connectivity for circuit-switched, or SONET/SDH, networks, next generation Ethernet/Internet Protocol, or IP-based, networks, and hybrid networks that combine circuit-switched and IP-based networks. Ceragon’s solutions support all wireless access technologies, including GSM, CDMA, EV-DO and WiMAX. These solutions address wireless service providers’ need to cost-effectively build-out and scale their infrastructure to meet the increasing demands placed on their networks by growing numbers of subscribers and the increasing demand for premium data services. Ceragon also provides its solutions to businesses and public institutions that operate their own private communications networks. Ceragon’s solutions are deployed by more than 150 service providers of all sizes, as well as in hundreds of private networks, in nearly 100 countries. More information is available at www.ceragon.com

Ceragon Networks®, CeraView®, FibeAir® and the FibeAir® design mark are registered trademarks of Ceragon Networks Ltd., and Ceragon™, PolyView™, ConfigAir™, CeraMon™, EtherAir™, QuickAir™, QuickAir Partner Program™, QuickAir Partner Certification Program™, QuickAir Partner Zone™, EncryptAir™ and Microwave Fiber™ 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. These are important factors that could cause actual results to differ materially from forecasts and estimates. 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.

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