BELLINGHAM, WA -- (MARKET WIRE) -- 02/02/07 -- Unity Wireless Corporation (OTCBB: UTYW) today announced preliminary 2006 pro forma sales results of $14.6 Million. The company tripled year over year revenues, up from $4.9 million in 2005 and very close to the September pro forma guidance of $15 million.

"Our substantial growth was achieved both organically and through our acquisition strategy," said Ilan Kenig, President and CEO of Unity Wireless.

Mr. Kenig continued, "With the success of our extensive rationalization efforts in the fourth quarter, we continue to anticipate achieving profitable operations in 2007. The company is starting this new fiscal year with a strong order backlog, which our centralized manufacturing group is now ramped up to deliver."

Highlights Since Last Update:

The following represents key business highlights since Unity's last report on business developments:

--  On January 4th Unity Wireless and its Indonesian partner IRIL
    Nusantara Telekomunikasi (INT) announced they have begun the installation
    of a 111 unit repeater order for that country's largest GSM carrier,
    TELKOMSEL. The most profitable telecommunication company owned by PT
    Telekomunikasi Indonesia and the Singapore Telecom Group (Singtel),
    TELCOMSEL has more than 35 million customers throughout Indonesia.

--  On January 4th Unity Wireless announced it successfully concluded the
    first phase 18 month trial of its patented synchronized multi source
    transmission technology with China's second largest wireless carrier.
    Unity's unique technology overcomes multi path fading and economically
    increases existing network capacity and coverage.

--  On December 18th Unity Wireless announced that it signed a
    distribution agreement with Russia's largest wireless equipment
    distribution company.  This milestone agreement now gives Unity much needed
    relationships and access to Russia's Tier-1 wireless network operators for
    the outdoor and new indoor repeater line of products.

--  On December 14th Unity Wireless announced that it received a second
    purchase order of $770,000 for advanced 50 watt frequency shifting
    repeaters and Unity's line of indoor repeaters from one of India's largest
    wireless carriers.

--  On December 13th Unity Wireless announced that it received a second
    purchase order of $520,000 for advanced 20 watt frequency shifting
    repeaters from one of Vietnam's largest wireless carriers.

--  On November 30th Unity Wireless announced it has received a purchase
    order from Nokia India for the first shipment of repeaters, in a forecasted
    quarterly series of orders valued at over $1,000,000 annually.

--  On November 28th Unity Wireless this week released an update on its on
    going supply agreement with one of Russia's largest Wireless Network
    Operators.  Phase one of this four stage, twelve month deployment, will be
    successfully completed by the end of January with the installation of 15 of
    Unity's high end outdoor frequency shifting repeaters.  The Operator
    forecasts that the next stage order will be placed in Q1 2007 with planned
    deployment of the full $2,000,000 series to be competed by the end of 2007.

--  On November 21st Unity Wireless released an update on its sole vendor
    supply agreement for microwave repeaters with one of India's largest
    wireless network operators.  Phase one of this two stage deployment will be
    completed by the November with the installation of Unity's microwave
    outdoor frequency shifting repeaters valued at over $600,000.

--  On November 16th Unity Wireless announced that it has received a
    $360,000 order from one of North America's largest Base Station
    manufacturers, scheduled to ship in Q4 2006 and Q1 2007, for a project with
    the Department of Home Land Security.  This project is expected to lead to
    total 2007 production revenues in excess of $1 million.

--  On November 6th Unity Wireless announced that it is seeing solid
    return on the first year of South East Asian business development activity
    with $1,000,000 in repeater line purchase orders from two major carriers in
    Indonesia and Vietnam.

--  On November 2nd Unity Wireless announced it received the third in a
    $750,000 series of purchase orders to supply a major Middle East wireless
    network operator with microwave radio links.

--  On October 27th Unity Wireless announced the launch of its new line of
    tower mounted wireless network coverage enhancement amplifiers (TMAs) and
    multiplexers to a Tier-1 provider market short on competitive offerings due
    to recent industry consolidation.  A major European carrier, among the
    first to trial the new line, commented on the superior noise figure and
    rejection performance, elements which can make a very significant
    difference in the performance of the cellular network.

--  On October 18th Unity Wireless announced it has been informed by
    China's ZTE Corporation that Unity has again been awarded a significant
    percentage of ZTE's power amplifier requirement to be used in three models
    of their wireless network base stations as part of a bi-annual bidding and
    qualification process.
    

The final pro forma results may vary from this preliminary estimate due to delayed revenue recognition or other considerations determined during the course of the company's audit. The pro forma results include results of operations for all the Company's subsidiaries for the full year, while the final audited results will only include the results of operations of the subsidiaries from their respective dates of acquisition. Final 2006 pro forma results are expected to be filed with the SEC as part of the company's 10KSB on or before March 30, 2007.

About Unity Wireless

Unity Wireless is a world class provider of wireless coverage enhancement solutions for cellular operators and custom subsystems for network infrastructure manufacturers. For more information about Unity Wireless, visit www.unitywireless.com.

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," "project," "could," "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, 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.

Investor Contact:

David Orton
Unity Wireless
(604) 267-2715
davido@unitywireless.com

Mike Mulshine
Osprey Partners
(732) 292-0982
osprey57@optonline.net