"THE PALMS HOTEL" AMONG HOTELS USING TOWNSTREAM WIMAX.

Towerstream (NASDAQ: TWER), Middletown, R.I., a WiMAX service provider, has announced it is delivering its high-speed, wireless broadband service to hotels in its markets across the country, to meet the hospitality industries specific need for high-speed internet access. One such company is The Palms Hotel and Spa and Circa 39 Hotel, located in the heart of Miami Beach.

"Hotels, like all businesses, have unique bandwidth needs as they must not only provide reliable Internet to employees but also to the rooms of their guests," said Mel Yarbrough, Chief Revenue Officer for Towerstream. "Towerstream's service is able to meet these demands while providing reliability and fast speeds."

The Palms came to Towerstream in September of 2008 with a need for additional bandwidth. Like other popular, luxury hotels with high annual occupancy rates, The Palms has a tremendous amount of data to store and send both internally and externally.

In addition, more and more business travelers work out of their hotel rooms, hosting virtual meetings, remotely accessing applications and logging onto peer-to-peer networks through the hotel's in-room, high-speed Internet connection. This, coupled with employee's activities left hotels' prior service - two T1 lines at The Palms Hotel and a factional "T" connection at Circa 39 Hotel - overloaded and employees without reliable and fast Internet access.

"We were faced with very difficult and very real challenges that threatened our staff's productivity and the service we deliver to our customers," said Joan Rowland: Director of IT for both The Palms Hotel and Spa and Circa 39 Hotels. "Towerstream's service has helped us overcome these hurdles, making our team more efficient while giving our guests the service they expect from The Palms. At the same time, Towerstream's scalable bandwidth on demand allows us to increase bandwidth to the hotel when we need it most."

Towerstream offers a variety of bandwidth options from T-1 to 1000 Mbps as well as service reliability backed by an industry-leading Service Level Agreement (SLA) and a no-risk, money-back guarantee. Towerstream's fixed wireless broadband network delivers high-speed Internet access supporting VoIP, bandwidth on demand, wireless redundancy, VPNs, disaster recovery, bundled data and video services. Companies utilizing multiple appliances simultaneously, such as streaming video and VoIP, can prioritize their bandwidth to secure mission-critical activities. Towerstream currently serves businesses of all sizes in New York, Chicago, Los Angeles, Miami, Seattle, Boston, San Francisco, Dallas-Fort Worth and Providence/Newport. Towerstream also offers a Rapid Installation Program which guarantees installation within 48 hours.

For a map of the regions covered by Towerstream's service, please visit: http://www.towerstream.com/. For sales inquiries, please call 866-848-5848; or visit: http://www.towerstream.com/index.asp?ref=support. Visit Towerstream CEO Jeff Thompson's blog at: http://blog.towerstream.com/.

About Towerstream Corporation

Towerstream is a leading WiMAX service provider in the U.S., delivering high-speed Internet access to businesses. Founded in 2000, the company has established networks in nine markets including New York City, Boston, Los Angeles, Chicago, the San Francisco Bay Area, Miami, Seattle, Dallas-Fort Worth, and the greater Providence area where the company is based. The company was the first carrier selected to join the WiMAX Forum to assist leading vendors in establishing industry compliance with international broadband wireless access standards and cross-vendor interoperability. Towerstream was awarded two 2008 Telephony Innovation Awards for Most Innovative Broadband Wireless Service and Most Innovative Small Business Service and the Best of WiMAX World 2008 Service Provider Deployment Award for its New York City network.

For more information, visit http://www.towerstream.com or call 212/704-7385.

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