Spacenet to Provide GTECH with More Than 10,000 VSAT Terminals for State Lottery Systems in California, Minnesota, Kansas and New York

With latest purchases, total number of Gilat VSATs ordered by GTECH reaches nearly 25,000

McLean, VA, January 16, 2003 - Spacenet Inc. today announced it has signed multiple agreements with global lottery services leader GTECH Corporation to install more than 10,000 Gilat Skystar Advantage® broadband satellite communications terminals for lottery networks in California, Minnesota, Kansas and New York. The announcement comes on the heels of a previously announced agreement with GTECH to use Gilat’s Skystar Advantage VSAT platform at more than 6,000 sites throughout Texas.

Since 1991, Gilat and its subsidiaries have provided GTECH with nearly 25,000 VSAT terminals for use by government-authorized lotteries worldwide. In contrast to previous deployments where GTECH was responsible for the administration of their VSAT-based lottery networks, these recent agreements call for Spacenet to provide ongoing management services for all sites deployed.
GTECH was the first lottery services provider to use satellite communications in an online lottery system, and has since proven that VSAT networks are a low-cost, dependable, easily deployable platform for any lottery location. As the lottery industry has increasingly moved its point-of-sale technology to IP-based networks, Gilat has been able to further solidify its position within the industry by providing ubiquitous, low-cost, secure access to the Internet for a wide range of state and national lotteries around the globe. The Spacenet/GTECH Minnesota rollout is noteworthy for being the first "all IP" lottery network in the nation.

Spacenet President and Chief Executive Officer Nick Supron said, "These recent awards demonstrate the lottery industry’s preference for the kind of highly reliable, secure and affordable connectivity Spacenet can provide using Gilat’s VSAT technology. They also demonstrate the continuing progress being made by Spacenet in securing sizable new business awards in a challenging telecom environment. As always, we’re very happy to be working with GTECH – an industry-leading service company with whom we’ve built a close, mutually beneficial relationship over many years."

About GTECH
GTECH (NYSE: GTK) is a leading global information technology company with more than $1 billion in annual revenues, employing 4,700 persons in 44 countries. GTECH provides software, networks, and professional services that power high-performance, transaction processing solutions. GTECH’s core market is the lottery industry, with a growing presence in financial services and related segments. Visit GTECH at www.gtech.com.

About Spacenet
With headquarters in McLean, Virginia, Spacenet Inc. is a wholly owned subsidiary of Gilat Satellite Networks Ltd. of Petah Tikva, Israel. Spacenet and Gilat are leading providers of satellite-based, broadband Internet communications technology. Spacenet provides two-way, satellite-based, broadband networking solutions for a wide range of organizations throughout North America. These solutions include provision of all equipment, bandwidth, implementation and ongoing network and field support on a full turnkey, outsource basis. Visit Spacenet at www.spacenet.com.