Gilat Provides Two SkyEdge Hubs to Tatanet India; New Systems to Serve Financial Organizations, Corporations, Media Houses and R

Gilat Satellite Networks Ltd. (NASDAQ: GILTF) announced
today that it was chosen by Tatanet India, a division of Nelco Ltd.,
to provide two SkyEdge(TM) hubs located in Mumbai and thousands of
SkyEdge IP VSATs. The hub deployment has already begun and an initial
amount of VSATs were installed at customer locations throughout India.
   Gilat's SkyEdge systems will operate over Extended C-band (XC) and
Ku-band satellites. With these new systems, Tatanet can better serve
the company's wide range of customers, which includes stock brokers,
banks, corporate customers and media houses. SkyEdge's unique system
topology combines Star and Mesh capabilities over the same platform
and allows for the seamless addition of new applications, such as
telephony.
   The new systems are capable of the simultaneous handling of a
multiple satellites network, traffic encryption and management of
private networks. These capabilities allow Tatanet to use the same hub
for various clients and applications, while securing the privacy of
each client. In addition, the systems' advanced modulation schemes,
Turbo Coding and 8PSK, allow for up to 30% more exploitation of the
space segment as compared to the standard DVB-S modulation scheme.
Thus, new systems enable Tatanet to further reduce its operational and
capital expenses.
   Mr. Zal, Engineer, Executive Director at Tatanet, said, "We were
extremely impressed with the capabilities of the new SkyEdge platform.
The platform's versatility allows us to offer a wide range of services
to various customers and to meet the unique requirements of the
market, ranging from the corporate and enterprise segments through to
the SME/SOHO, POS, SCADA, stock broking and rural markets." Zal added,
"Gilat's innovative solutions for incorporating Star, Mesh and
telephony capabilities over a single platform coincide with our
vision. They are the corner- stones for cutting-edge satellite
communication technology."
   Mr. Giora Reish, Gilat Associate Vice President, Sales and
Marketing, Asia said, "We are very proud that Tatanet, a leading
service operator in India, chose us to provide our SkyEdge networks.
Gilat looks forward to addressing the Enterprise, SME and SOHO markets
in India. We feel that this will be a huge opportunity for both
companies."

   About Tatanet

   The Tatanet division of Nelco was founded in December 1995
primarily with a view to providing effective & reliable wireless
broadband connectivity through VSATs to Tata Group of companies.
Tatanet made a foray in the commercial market in the year 2003. Within
a short span of time, Tatanet has made significant inroads in the
existing VSAT market offering its services under the umbrella brand
Tata Indicom, for comprehensive telecom solutions from the house of
Tata's. The networking solutions from Tatanet address communication
needs across all verticals such as the Automobile, Pharmaceuticals,
Manufacturing and Distribution, FMCG, Banking, Finance and Insurance,
Travel, Tourism and Hospitality, Media and event management.
   With a robust infrastructure, an all India direct Customer support
network, an effective escalation process, 24 - hour help desk
facility, commitment for quality initiatives such as TBEM - Tata
Business Excellence Model and TL 9000, and a team of handpicked
professionals from the industry, Tatanet is clearly emerging as the
fastest growing VSAT service provider in the nation. Visit Tatanet at
www.tataindicomvsat.com

   About Gilat Satellite Networks Ltd.

   Gilat Satellite Networks Ltd. (Nasdaq: GILTF) is a leading
provider of products and services for satellite-based communications
networks. The Company operates under two business units: (i) Gilat
Network Systems ("GNS"), which is a provider of network systems and
associated professional services to service providers and operators
and (ii) Spacenet, which provides managed services for businesses and
governments through its Connexstar service brand, for consumers
through its StarBand service brand and for rural communities through
Spacenet Rural Communications.
   Gilat was founded in 1987 and has shipped over 550,000 Very Small
Aperture Terminals (VSATs) to more than 80 countries across six
continents. Gilat's headquarters is located in Petah Tikva, Israel.
The Company has 14 local offices and 3 service facilities worldwide.
   Gilat markets the SkyEdge (TM) Product Family which includes the
SkyEdge(TM) Pro, SkyEdge(TM) IP, SkyEdge(TM) Call, SkyEdge(TM) DVB-RCS
and SkyEdge(TM) Gateway. In addition, the Company markets numerous
other legacy products. Visit Gilat at www.gilat.com.

   Certain statements made herein that are not historical are
forward-looking within the meaning of the Private Securities
Litigation Reform Act of 1995. The words "estimate", "project",
"intend", "expect", "believe" and similar expressions are intended to
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involve known and unknown risks and uncertainties. Many factors could
cause the actual results, performance or achievements of Gilat to be
materially different from any future results, performance or
achievements that may be expressed or implied by such forward-looking
statements, including, among others, changes in general economic and
business conditions, inability to maintain market acceptance to
Gilat's products, inability to timely develop and introduce new
technologies, products and applications, rapid changes in the market
for Gilat's products, loss of market share and pressure on prices
resulting from competition, introduction of competing products by
other companies, inability to manage growth and expansion, loss of key
OEM partners, inability to attract and retain qualified personnel,
inability to protect the Company's proprietary technology and risks
associated with Gilat's international operations and its location in
Israel. For additional information regarding these and other risks and
uncertainties associated with Gilat's business, reference is made to
Gilat's reports filed from time to time with the Securities and
Exchange Commission.