Press Release

Netscape and Netopia Roll Out E-Stores for Netscape Netcenter Small Business Channel

First to Market with Online Solutions for Small Business, Netopia Announces 3.5 NVO Upgrade which Features E-Store, 30-day Free Trial

ALAMEDA and MOUNTAIN VIEW, CALIF., (July 27, 1999) - Netopia, Inc. (NASDAQ: NTPA), a market leader in providing Internet and e-commerce infrastructure to small and growing businesses and Netscape Communications, a subsidiary of America Online (NYSE: AOL), today announced the availability of E-Store on the Netscape Small Business Channel. This capability provides small business owners with the opportunity to sell their goods and services from an online display room, complete with shopping cart and secure credit-card capture. E-Store is a new feature of Netscape Virtual Office version 3.5 by Netopia.

The Netscape Small Business Channel on Netcenter provides small businesses with easy access to the quality content and tools they need in order to manage and grow a successful business online. A key feature of the channel, "eBusiness Basics," lets small businesses establish a web presence, attract new customers, promote their businesses and begin selling products online, in seven easy steps.

Visitors to Netscapeís Small Business Channel and current NVO customers can access the new E-Store capability as part of eBusiness Basics "Step 7" (The basic NVO product without E-Store feature can be found on "Step 2" of the eBusiness Basics feature). New or existing NVO customers who opt for an NVO E-Store will receive a free, no-risk thirty-day trial. NVO web site owners can begin selling their goods and services online by seamlessly integrating full-featured e-commerce capabilities.

"With NVO 3.5 small business owners who want to sell their goods and services online now can easily extend their brick and mortar business by creating a customized, branded e-store that scales as their business grows, all at a great value," said Alan Lefkof, president and CEO of Netopia.

"The Netscape Virtual Office E-Store feature will enable small businesses to easily create an Internet storefront and begin to sell goods and services online," said Jerrell Jimerson, vice president of programming for Netscape Netcenter. "Netscape continues to help simplify the Internet and enable the burgeoning small business market with the information and tools they need to successfully grow their business online."

In June, 1998, Netopia and Netscape launched the "Netscape Virtual Office" a service on the Netscape Small Business Channel, providing small business owners with an online presence featuring customized, vertical content, graphics packages and site-hosting at a good value.

Current Pricing and Availability
E-Store is available now as an upgrade to NVO 3.5. Current NVO customers may upgrade to version 3.5 and sign-up for a free thirty-day trial of an NVO E-Store by visiting http://netopia.netscape.com/new/ntscp_ecom_begin.html on the Netscape Small Business Channel. If they choose to upgrade from an NVO Web site to an E-Store at the end of the trial period, they may select one of two payment options: $59.95 per month or pre-pay the annual fee of $599.00 and save $119.00. New customers to the NVO platform may opt for a free, no-risk thirty-day trial of an NVO web site. At the end of the trial period, they pay only $19.95 per month, or $199 annually for a $40 savings, which includes 10 Megabytes (MB) of server space for storing files and pictures. Additional disk space is available for a nominal fee.

About Netscape Netcenter
Netscape Netcenter is a leading portal site that provides users with a home base on the Internet. From Netcenter, users can navigate the Internet, access a broad range of consumer and business content and services, and communicate with others online. The site includes seventeen content channels, a set of leading-edge services including the new Netscape-branded Search, Site Central, Netscape Contact, Netscape SmartUpdate, Software Download, Member Directory, My Netscape personalization service and WebMail.

About Netopia, Inc.
Netopia, Inc. provides Internet and electronic commerce infrastructure that enables small and medium-sized businesses to easily and cost-effectively connect to the Internet, establish and enhance their presence, and conduct business and electronic commerce on the Web. The company offers high-speed, multi-user, plug-and-play Internet connectivity products and Web platforms for creating and hosting Web sites; creating and hosting electronic commerce stores; and, conducting real-time Internet communications.

With the Netopia Virtual Office platform, the Company has established web site services with Netscape Netcenter, Intuit (NASDAQ:INTU), McAfee (NASDAQ: NETA) and Concentric Network (NASDAQ: CNCX). With its Netopia Internet Router family, Netopia has established strategic partnerships with hundreds of ISPs including France Telecom (NYSE: FTE), Telecom Italia (NYSE: TI), Bell Atlantic (NYSE: BEL), PSINet (NASDAQ: PSIX), Verio, UUNet (NASDAQ: WCOM), and Concentric Network (NASDAQ: CNCX).

Headquartered in Alameda, California, Netopiaís common stock is traded on The Nasdaq Stock Market under the symbol NTPA. Further information can be obtained via phone 510-814-5100, fax 510-814-5021 or Internet at www.netopia.com.

Netscape, Netscape Navigator, Netscape Certificate Server, Netscape FastTrack Server, Netscape ONE, SuiteSpot, and the Netscape N and Ship's Wheel logos are registered trademarks of Netscape Communications Corporation in the United States and other countries. Other Netscape logos, product names, and service names are also trademarks of Netscape Communications Corporation, which may be registered in other countries. Other product and brand names are trademarks of their respective owners.